The economic divide between Europe's largest economies widened in February, as a closely-watched survey showed manufacturing output in France contracted at a faster rate than Greece, despite the weakening euro.
Output at French factories fell for a ninth consecutive month in February, as new orders dried up and overseas demand fell. This led to a further fall in employment, Markit said, as it described general demand in France as "lacklustre".
By contrast, a stronger rise in new business helped output at German manufacturers expand for the 22nd consecutive month in February. Markit described the latest rise as "broad-based", but said growth was "weak by historical standards".
Despite an 8pc decline in the euro against the dollar since the start of the year, Markit's French manufacturing PMI fell to 47.6 in February, from 49.2 in January.
This was well below the 50 level that divides growth from contraction, and also worse than economists' expectations of a decline to 47.7. This also means output in France contracted at a faster rate than in Greece last month, where the decline steadied to 48.4.
