2017.05.2304:25:00UTC+00Eurozone Private Sector Activity Growth Steady At 6-Year High

Eurozone private sector growth continued in May, logging the fastest growth for six years in May, flash data from IHS Markit showed Tuesday.

The flash composite output index came in at 56.8 in May, unchanged from April's six-year high. The score was forecast to fall slightly to 56.7.

Manufacturing led the upturn, with output growth accelerating to the fastest in over six years. Service sector business activity growth also remained strong, easing only marginally from April.

The manufacturing Purchasing Managers' Index rose to a 73-month high of 57.0 from 56.7 in April. The expected score was 56.5.

The services PMI dropped to 56.2 in May, while economists forecast the score to remain unchanged at 56.4.

"Business activity is expanding at its fastest rate for six years so far in the second quarter, consistent with 0.6-0.7% GDP growth,"Chris Williamson, chief business economist at IHS Markit said.

"The consensus forecast of 0.4 percent second quarter growth could well prove overly pessimistic if the PMI holds its elevated level in June," the economist added.