US, EU Economy Seen Slow Growth in July

The United States and Europe saw a slowdown in economic growth in July this year, according to a report.

According to an S&P Global report, Europe’s Purchasing Managers’ Index (PMI) in July at 48.9, lower than in June at 49.9.

The manufacturing output in Eurozone, especially in Germany, caused the deceleration. Economist predicts Europe’s economy may face a further slowdown in the coming months.

Meanwhile, the European Central Bank eyes to further increase its rates to address inflation concerns in the region.

Similarly, the United States also saw slow economic growth in July.

Sluggish business activity in the country, dragged by the slow growth of the service activity, with the services activity index in July being 52.4, much lower compared to June at 54.4.

The US Federal Reserve is expected to implement a raise to rates between 5.25% to 5.5% to help cool inflation. (ASC)