BRUSSELS, Dec. 4 (UPI) -- France, with Europe's second-largest economy, is in danger of sliding back into recession, Markit Economics chief economist said Wednesday.
While the composite index for businesses in the eurozone showed growth for the fifth consecutive month in November, the indexes for France and Italy showed continued contraction, the research firm reported.
In France, the business index came to 48, putting the contraction there at a faster pace than Italy, where the index that uses 50 as a break-even point, came in at 48.8 for the month.
"The final PMI data confirm that the euro area's recovery lost some momentum in November. While we shouldn't lose sight of the fact that the region is growing again, in marked contrast to the decline seen earlier in the year, it's clearly a concern that the rate of growth remains so fragile," Markit Chief Economist Chris Williamson said in a statement.
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A fourth-quarter contraction in France would be a slide into another recession, Williamson said. For Italy, a fourth-quarter contraction would be "a staggering 10th successive quarter" of the economy failing to grow, he said.
In a final estimate, the eurozone's Composite Output Index slipped from October's 51.9 to 51.7, indicating continued growth, although at a slightly slower pace.
The index came in higher than the flash index, which was set at 51.5.
The Eurozone Services Business Activity Index also remained in positive territory at 51.2, down from 51.6 in October, but higher than the flash estimate of 50.9.
Manufacturing production in the eurozone, "continued to rise at a solid clip," hitting a three-month peak, the report said.
The service sector rose, but at the slowest pace since August.
Germany posted the highest composite index for the 17-nation currency region, reaching a mark of 52.4, a 29-month high. In Spain, the mark of 50.8 was a three-month high, Markit said.
