Eurozone’s economy expected to be on track for the best quarter since 2015

Following an unanticipated upturn in economic activity in September, the eurozone economy is widely expected to be on track for the best quarter since 2015. According to IHS Markit index, the euro-area’s private-sector activity jumped from 55.7 in August to a 4-month high of 56.7. The reading was better than economists’ projection of 55.6.

Services as well as manufacturing activities strengthened. The gauge for manufacturing reached a level not witnessed in more than six years.

Economists at Barclays said that the PMI surveys proved a “solid end” to the area’s economic quarter. They also projected the economy to grow at a rate of 0.5 per cent this quarter.

The European Central Bank (ECB) also raised its forecast for the euro-area’s economy to 2.2 per cent.

Outlook for the euro-area’s economy got another upgrade this month as a new survey by Bloomberg predicted the area’s gross domestic product (GDP) to grow 2.1 per cent this year. It marked the eighth positive reassessment within the last twelve months.