The Eurozone Manufacturing Purchasing Managers Index (PMI) stood at 46.6 in January, rising from 45.1 in December to hit an eight-month high, S&P Global and Hamburg Commercial Bank (HCOB) revealed in a report on Monday.

The Manufacturing PMI Output Index also hit an eight-month high, jumping from 44.3 in December to 47.1 in January. According to the national PMI survey data, France and Germany's manufacturing economies performed the best in January, hitting both eight-month highs. Employment levels were cut further at the start of 2025 and January survey data indicated a "renewed rise in manufacturers' operating expenses."

"It's definitely too early to talk about green shoots in the manufacturing sector, but we see the increase in the HCOB PMI as a first step towards stabilization," HCOB Chief Economist Cyrus de la Rubia said. "Germany and France hold the red lantern in the eurozone's manufacturing sector, with Austria and Italy not faring much better."