Reuters - Video

Edition: U.S. | U.K. | IN | CN

Finance Videos

Euro zone factory slump worsens

Wednesday, January 02, 2013 - 01:36

Jan.02 - Orders were still down at the end of 2012, keeping PMI figures below the crucial point that marks growth, but Italy's manufacturing hit a nine-month high, and Ireland showed signs of growth. Joanne Nicholson reports

▲ Hide Transcript

View Transcript

TV AND WEB RESTRICTIONS~****~ The numbers point towards a deeper recession. Factories in the euro zone didn't get the orders they'd hoped for. In December manufacturing on the purchasing Managers' Index dropped point 1 from 46.2. It's been below the golden 50 mark that divides growth from contraction since August 2011. Germany's manufacturing sector shrank for a 10th month, while in France the decline continued for a 17th month. Only Italy offered a glimmer of hope. Its manufacturing hit a nine month high, although still below that 50 mark. Christian Schulz is an economist at Berenberg Bank SOUNDBITE (ENGLISH) CHRISTIAN SCHULZ, SENIOR ECONOMIST, BERENBERG BANK, SAYING: "Italy is clearly not out of a recession yet but talking about fiscal cliffs and fiscal austerity, the Monti government over the last year has imposed enough austerity and made enough fiscal adjustments for Italy not to need more austerity in 2013 and that should help the economy to turn around and grow again." Ireland was the only country to see growth in manufacturing but the US fiscal cliff drama makes any positive results precarious. SOUNDBITE (ENGLISH) CHRISTIAN SCHULZ, SENIOR ECONOMIST, BERENBERG BANK, SAYING: "The most exposed countries to the US are Ireland by far, and then the UK. The other big European exporters usually export about 6 percent of their goods exports to the other side of the atlantic so they are also going to have a positive impact and we have to keep in mind that the US is not just directly important but also China exports a lot to the US and imports a lot from countries such as Germany." And while the US economy looks to slow in 2013, it will still outperform Europe.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Euro zone factory slump worsens

Wednesday, January 02, 2013 - 01:36

Most Popular »

Business »

Moving Pictures »

Images of January Images of January

4:25pm GMT - (0:30)

Images of December Images of December

Tue, 23 Dec, 2014 - (0:30)

Tsunami - unclaimed possessions Tsunami - unclaimed possessions

Tue, 23 Dec, 2014 - (2:23)

Images of November Images of November

Tue, 02 Dec, 2014 - (0:30)

Images of October Images of October

Mon, 03 Nov, 2014 - (0:57)

The world in a city The world in a city

Fri, 31 Oct, 2014 - (1:30)

Real-life superheroes Real-life superheroes

Tue, 28 Oct, 2014 - (1:44)

Dance of the northern lights Dance of the northern lights

Mon, 20 Oct, 2014 - (1:08)

Images of September Images of September

Thu, 02 Oct, 2014 - (1:00)

Still missing – MH370 Still missing – MH370

Fri, 05 Sep, 2014 - (2:05)

Sports And Leisure »

Mourinho's "Let's go to Wembley" Mourinho's "Let's go to Wembley"

Wed, 28 Jan, 2015 - (1:16)

Diver Daley trains in Rio Diver Daley trains in Rio

Tue, 27 Jan, 2015 - (0:55)

Drogba on his Chelsea hopes Drogba on his Chelsea hopes

Mon, 26 Jan, 2015 - (0:52)

NBA legend shoots from the hip NBA legend shoots from the hip

Wed, 14 Jan, 2015 - (1:13)

Tennis ace Murray proposes to girlfriend Tennis ace Murray proposes to girlfriend

Thu, 27 Nov, 2014 - (0:41)

Sports Spread: Tinkering Liverpool target Chelsea Sports Spread: Tinkering Liverpool target...

Thu, 06 Nov, 2014 - (11:18)

Flying car prototype takes to the skies Flying car prototype takes to the skies

Wed, 29 Oct, 2014 - (2:18)

Dateline Asia »

iPhone grabs top spot in China iPhone grabs top spot in China

Wed, 28 Jan, 2015 - (1:40)

Robot replacements for Foxconn's workers Robot replacements for Foxconn's workers

Wed, 28 Jan, 2015 - (1:12)

Alibaba could set sights on Yahoo Alibaba could set sights on Yahoo

Tue, 27 Jan, 2015 - (1:24)

Fashion designers finding haste makes waste Fashion designers finding haste makes waste

Tue, 27 Jan, 2015 - (2:07)

Be afraid, the Chinese are spending less Be afraid, the Chinese are spending less

Mon, 26 Jan, 2015 - (1:33)

Asia markets shrug at Greek elections Asia markets shrug at Greek elections

Mon, 26 Jan, 2015 - (1:36)

Asia markets toast ECB stimulus Asia markets toast ECB stimulus

Fri, 23 Jan, 2015 - (1:42)

Asia Week Ahead: Markets await Greece vote Asia Week Ahead: Markets await Greece vote

Fri, 23 Jan, 2015 - (1:18)

Netflix to push play in China Netflix to push play in China

Thu, 22 Jan, 2015 - (1:41)

Japan in a tight spot over hostage crisis Japan in a tight spot over hostage crisis

Thu, 22 Jan, 2015 - (1:05)

Reuters Investigates »

Where the sea is closing in Where the sea is closing in

Thu, 20 Nov, 2014 - (3:41)

Re-homing victim: "I could have been dead" Re-homing victim: "I could have been dead"

Wed, 19 Feb, 2014 - (8:24)

Cops and loggers in the Amazon rainforest Cops and loggers in the Amazon rainforest

Fri, 10 Jan, 2014 - (4:01)

"Passed around like a dog" "Passed around like a dog"

Thu, 29 Aug, 2013 - (6:32)

Adopted, then abandoned online Adopted, then abandoned online

Thu, 29 Aug, 2013 - (13:22)

How the DEA keeps its secrets secret How the DEA keeps its secrets secret

Mon, 05 Aug, 2013 - (1:36)