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The euro area manufacturing sector continued to contract at the end of the year with fall in output and job losses, final data from S&P Global showed on Tuesday.
The manufacturing Purchasing Managers' Index rose to 44.4 in December from 44.2 in November.
The index has remained below the neutral 50.0 mark indicating contraction. Nonetheless, the reading was the highest in seven months.
The marginal increase in the index primarily reflected softer deteriorations in Germany and Italy. France registered the strongest worsening of business conditions in over three-and-a-half years. Germany's manufacturing PMI posted 43.3, up from 42.6 in November and was also above the flash reading of 43.1.
Italy's manufacturing PMI advanced to 45.3, while the score was forecast to remain unchanged at 44.4.
Meanwhile, France's factory PMI fell to 42.1 from 42.9 a month ago. The flash score was 42.0. Spain manufacturing PMI registered 46.2, slightly down from 46.3 a month ago and forecast of 47.0.
