Eurozone Construction Activity Rises the Sharpest in the Pandemic-Era

Eurozone Construction Activity Rises the Sharpest in the Pandemic-Era

(Eurostat) Eurozone Construction Total Activity Index was at 51.2 in October, an improvement from 50.0 in September and the sharpest since February 2020.

The Eurozone Construction PMI Total Activity Index, 2007 to date

The increase in construction activity was linked to robust demand and rising workloads. Civil engineering work was still in the contraction zone. 

German and French firms saw a renewed activity in the commercial building, with the upturn being the highest in the five months. 

New businesses rose for the third straight month in October, although the expansion slowed.

The employment rate increased for the fifth straight month, with the job creation among constructors the sharpest in the pandemic era. 

Supply chain challenges persisted, with lead times increasing but softened from September. 

Cost inflation increased for the first time in three months among the constructors to near-record highs.

Construction firms in the eurozone remained optimistic over the outlook in the next 12 months, but the confidence hit a six-month low in October.

DAX is up +0.15%, EURUSD is down -0.15%.

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