Things kinda suck for the EU, as France drags down the European economy

[I AM NOT THAT GUY 5,715]

France drags on euro zone economy, Britain brighter

LONDON — A huge drop in French business activity meant the euro zone's recession dragged on in March but British services firms provided a rare glimpse of economic sunshine, posting their best month since August.

Business surveys on Thursday showed the decline in French services businesses is now at its steepest since the nadir of the 2008-09 recession, outstripping even the downturns of struggling Spain and Italy.

In Germany, the region's biggest and most resilient economy, growth slowed to a near-stall last month.

Unusually, Britain bucked the trend after rising new orders helped services companies like banks, hotels and restaurants record their fastest growth since last summer's London Olympics.

Overall though, the latest batch of purchasing managers indexes (PMIs) showed most of Europe's major economies, at least in the euro zone, fared poorly in the first quarter of the year.

"With these PMI readings, we're likely to be in contraction territory even for the second quarter," said Juergen Michels, lead euro area economist at Citi in London.

Despite the clear economic weakness, economists do not expect the European Central Bank to announce any major easing of monetary policy this Thursday.

But the accumulation of dismal data could prompt a more dovish tone from ECB President Mario Draghi, who in January identified "positive contagion" sweeping through financial markets as a result of his policies.

"This positive contagion we're seeing in financial markets is not feeding through to real economic activity," said Michels, pointing out that financing conditions are not improving for households or medium and smaller companies across the region.

Markit's Eurozone services PMI fell to 46.4 in March from 47.9 in February. It has spent all but one of the last 20 months rooted below the 50 threshold dividing growth from contraction.

It was also down a tick from a preliminary reading of 46.5 reported two weeks ago.

http://xfinity.comcast.net/articles/news-general/20130404/US-EUROPE-ECONOMY/

[Penny Lane 8,159]

Who cares about France?

[I AM NOT THAT GUY 5,715]

Who cares about France?

The Brits until they finally leave the EU.

[Brother Hesekiel 2,236]

If the U.K. leaves the E.U. the owners of the British economy (the Germans own Rolls Royce, Bentley, MINI; the Indians Jaguar) will pull their money and production out of the U.K. and put it into another E.U. country, and the U.K. will slowly sink into oblivion within a year or two.

For that very reason the U.K., despite all the bitching and the problems with immigrants from all over, will not leave the E.U. It's really that simple.

[Darnell 8,478]

Maybe France needs more tourism, from the USA or North Africa ?