EU Productivity Declines, German Construction Contracts

Arthi Gupta
05 Jul, 2012
New York City

EU productivity declined and the consumer price inflation in the Netherlands remained unchanged in June. German construction sector continued to shrink but Swedish service production rose in May.

[R]1:30 PM Frankfurt – EU productivity declined and the consumer price inflation in the Netherlands remained unchanged in June. German construction sector continued to shrink but Swedish service production rose in May.[/R]

EU Productivity Declines

EU manufacturing and services economy signaled an ongoing reduction in output per worker, the latest productivity data from Markit showed today.

The seasonally adjusted EU Productivity PMI registered 48.2 in June from the 48.5 recorded in May. The latest reading signaled a third successive monthly deterioration in output per employee, and at the fastest rate since March 2009.

German Construction Sector Shrinks

Conditions within the German construction sector continued to deteriorate in June, Markit Economics said today.

The seasonally adjusted Construction Purchasing Managers'' Index rose to 46 in June from 44.7 in May, signalling a further, albeit slightly slower, decrease in overall building activity across Germany. Construction activity in the euro-zone''s largest economy has now fallen for three consecutive months.

Swedish Service Production Climbs

Sweden''s service production increased from last year in May, data released by Statistics Sweden showed today.

The service production index, in volume terms, grew a seasonally and working-day adjusted 1.9% on an annual basis in May.

In the March to May period, service production increased a seasonally adjusted 0.1% from the preceding three-month period, data showed.

Dutch Inflation Flat

The consumer price inflation in the Netherlands was at 2.1% in June, unchanged from the May data, the lowest in fourteen months, data from a survey by the Central Bureau of Statistics showed today.

Food and non-alcoholic beverages prices rose 1.5% annually, while clothing and footwear prices advanced 1.6% in June, data showed.