Survey finds eurozone economy cools as new orders weaken

LONDON – A closely watched survey is showing that economic growth across the 19-country eurozone moderated at the start of the third quarter.

Financial information firm IHS Markit said Tuesday that its purchasing managers index — a broad gauge of business activity — for the eurozone eased to 54.3 in July from 54.9 in June. Though still above the 50 mark that means the economy continues to grow, the firm said weakened new order inflows and reduced business expectations of future activity fostered a downbeat picture.

The July reading, if sustained over the following two months, indicates quarterly economic growth of 0.4 per cent, down from the anticipated 0.5 per cent in the second quarter. Official figures for the second quarter are due at the end of the month.