The eurozone manufacturing sector is improving while the service sector is slowing

The preliminary reading of the Manufacturing Purchasing Managers' Index for the Euro zone improved to 57.4 points in August from 56.6 points in July, better than the forecast for a drop of 56.3 points. Today's reading is the strongest in two months and is nearing its highest level Over the course of 6 years.
As for the service sector, the Purchasing Managers' Index fell to 54.9 in August from 55.4 in July, below expectations of 55.4 points. Today's reading is the lowest in 7 months.
The manufacturing sector recorded further growth in manufacturing demand and accumulated demand surged at the fastest pace in more than 11 years, but the growth in the service sector was the weakest since January. Overall, business confidence fell to its lowest level since November 2016. However, the employment component improved significantly during the month.
The data should generally keep confidence in the growth outlook for the euro zone, giving little justification for the ECB to maintain the current policy.