Leading EU economies end the year deep in recession

Private sector activity in the euro area deteriorated at the end of the year.

The S&P Global Purchasing Managers' Index contracted for a seventh month in December, falling to 47.

This defeated economists' expectations of a slight upturn, although they still predicted that the gauge would remain below the 50 mark, which signifies economic growth.

Both manufacturing and service sector indicators showed declines.

“The figures paint a disheartening picture as the euro-zone economy fails to display any distinct signs of recovery,” Hamburg Commercial Bank Chief Economist Cyrus de la Rubia said. “The likelihood of the euro zone being in a recession since the third quarter remains notably high.”