In Europe: Recession, 500-Year Drought
The European economy is in trouble.
I doubt that's news to anyone. But it was in the news again on Tuesday, courtesy of flash PMI readings for August, which suggested activity contracted again this month.
The manufacturing and composite gauges compiled by S&P Global both printed in contraction territory (figure below). At 49.2, the composite index sat at an 18-month low. The manufacturing gauge, at 49.7, was the lowest since June of 2020.
Although the services index managed to stay abov