- Chris Williamson, survey compiler Markit's chief economist
A bunch of uneven economic data came out on Wednesday, as Euro zone retail sales rose in October, business activity in the region's services sector fell, while Greece rejected Troika's demand to raise taxes and cut incomes in the 2015 budget. Euro area's retail sales returned to growth in the beginning of the final quarter, increasing 0.4% on month in October and 1.4% on an annual basis, indicating rising demand from households. Meanwhile, activity in the services sector of the 18-nation bloc eased, with the services PMI falling to 51.1 in November, down from 52.3 a month earlier. France's services sector remained weak in November, with the corresponding reading coming in at 47.9, while Germany's services activity slowed to the lowest level in 16 months, as Markit's services PMI fell to 52.1 compared with October's 54.4 reading. However, Spain saw business activity in the sector growing for a 13th month in a row and Italy's services sector remained in the green territory. Overall, Markit's final Composite PMI fell to 51.1 in November, indicating that heavy discounting failed to stop Euro zone's business activity growing less than expected last month and suggesting the region's economy may contract again early next year. Meanwhile, Greece opposed Troika's demand to revise the 2015 budget, saying that measures proposed by international creditors would undermine the country's fragile recovery, as it has just emerged from a deep economic recession.
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