Business in the euro zone's dominant services sector shrank in November for the third month running but at a slightly slower pace, a major survey showed today.
The Reuters Eurozone Services Business Activity Index rose slightly to 46.9 from the series low of 46.7 in October, staying below the 50 line that divides growth from contraction.
The survey of more than 2,000 companies showed they were slightly less pessimistic about their business prospects in 12 months time than they were in October.
But the sector - responsible for most of the euro zone's employment growth until September - is now shedding jobs at the fastest pace since the survey began in July 1998.
The recent contraction of activity can only be in part blamed on the September 11th attacks on the US and instead largely represents a continuation to the trend of slower growth since the index peaked in April 2000, said NTC Research, which compiles the survey.
The modest rise in the business activity index for services follows a similar tick upwards in the companion survey of euro zone manufacturers, to 43.6 in November from 42.9 in October, the low point since the manufacturing survey began in June 1997.
AFP