Eurozone closer to recession as business activity slows

The economy faces several headwinds, including a rate-hiking campaign by the European Central Bank and a slowdown in global activity

Banks in the eurozone tightened credit standards further in the three months through September due to higher borrowing costs and the worsening economic backdrop, the ECB said. 

Private-sector activity in the eurozone kicked off the final quarter of 2023 with another dismal showing, suggesting the economy may be in recession.

S&P Global’s purchasing managers’ index slowed to a three-year low in October.