Friday, May 4, 2012

Misery Continues to build for the euro zone

(Reuters) - The euro zone economy worsened markedly in April, according to business surveys that clashed with the prospect of a gradual recovery augured by European Central Bank President Mario Draghi this week.

Friday's purchasing managers indexes (PMIs), primarily covering services, suggested a recession across Europe's currency union could now extend to mid-year and be deeper than previously thought.

They did, however, indicate better progress among Chinese companies.

Still, the overall tone of economic data on Friday was gloomy, given news the U.S. economy added only 115,000 non-farm jobs in April, far less than the 170,000 predicted.

Following the European Central Bank's policy meeting on Thursday, President Mario Draghi spoke of a gradual economic recovery taking place in the euro zone during the course of the year, although he did speak about risks. Read More