FX.co ★ Eurozone Manufacturing Expansion Slows in June

The S&P Global Eurozone Manufacturing PMI slipped to 51.4 in June 2026 from 51.6 in May, broadly in line with the flash estimate of 51.3. Despite this slight loss of momentum, the index remained in expansion territory for a fifth straight month, marking the strongest calendar quarter for euro area manufacturing output since the early months of 2022. This resilience in manufacturing has helped offset the recent weakness in the services sector. In June, production growth accelerated from May’s four-month low, though new orders rose only marginally and employment continued to decline. Supplier capacity stayed under strain, reflecting ongoing disruptions linked to the Middle East conflict. At the same time, both input and output cost inflation eased from their multi-year highs, while business confidence improved to a four-month peak.