France, so far, has seen the strongest expansion of business activity as far as Eurozone Services PMI Purchasing Managers’ Index is concerned. While Italy, Ireland and Spain saw limited growth in the month of May, France and Germany were leading in recovery. Markit Eurozone Services Business Activity Index was expected to be at 55.4.

However, it turned out to be above this estimate and actually hit 56.0. Since September 2009, the index has remained above the neutral mark of 50.0 and this indicates expansion.

As the index edged from 56.7 in the month of April, it hit an all time low in the past four months thereby indicating cooling of expansion. While there is stagnation at the periphery, the growth in the core in countries like Germany and France is a contradiction.

Since November 2009, business expectations for activities levels dipped to an all time low in the last 12 months time. While employment arose in the three big countries, Germany, France and Italy, Ireland and Spain reported job losses.