Two socialist countries in trouble!
http://www.telegraph.co.uk/finance/economics/11581349/Warning-lights-flash-over-Greece-and-France-as-manufacturing-stumbles.html
'Warning lights' flash over Greece and France as manufacturing stumbles
France and Greece remain the eurozone's laggards, with the former "locked in reverse gear" as manufacturing remains mired in contraction in April
Warning lights are flashing over the Greek and French economies, analysts said on Monday, after a closely-watched manufacturing survey showed both nations remained "mired in contraction" in April.
Turmoil in Greece, and concerns that the country could default on its debt and be forced out of the eurozone pushed Greek activity to a 22-month low, according to Markit's latest manufacturing barometer.
The figures also suggested that the European Central Bank's €1.1 trillion bond-buying programme, which has helped to weaken the euro, has so far failed to lift France out of its chronic malaise.
French manufacturing activity contracted for the 11th consecutive month in April, with the rate of decline the fastest so far this year. Markit also said employment levels fell for a thirteenth successive month in April.
“The French manufacturing sector remains locked in reverse gear," said Jack Kennedy, senior economist at Markit. "Production levels were cut at an accelerated rate amid a steeper decline in new orders. This was despite a further fall in prices charged and the recent weakening of the euro, underlining the competitive challenge facing firms.”
Markit's French manufacturing purchasing managers' index (PMI) fell to 48 in April, from 48.8 in March. This was lower than a flash estimate of 48.4 and well below the 50 level that divides growth from contraction. Greece's PMI contracted to 46.5, from a previous reading of 48.