Eurozone manufacturing in November shrank for the eighth month running, but a small rise in a Reuters index series offers some hope to an economy racked by uncertainty.
Having been on a downward trend since May 2000, the Reuters Purchasing Managers' Index (PMI) rose to 43.6 in November from October's survey low of 42.9, but the reading is still well below the 50 line that divides growth from shrinkage.
The headline PMI was higher then the consensus forecast of 42.7 and reflects the contraction of inventories, new orders, output and employment levels in November.
It was below the 46.0 in the September survey taken immediately after the attacks on the US.
But November's modest uptick may simply reflect a slight correction from data affected by the immediate aftermath of the events of September 11th, NTC Research said.
The input prices index at 37.7 in November, the lowest since February 1999, will add to growing evidence of falling prices in the 12-nation eurozone and could persuade the European Central Bank to cut benchmark interest rates sooner rather than later.
In October the prices index stood at 38.1.
Subdued prices for raw materials as a result of weak demand and a 40 per cent drop in oil prices since the attacks helped the index to fall for the 14th consecutive month.