EZ PMI fell to 51.1 in May from 51.9 the month prior, and significantly lower than estimates of 51.5. The service sector, which accounts for two thirds of GDP fell to 50.6 from 52.0 well short of economist’s predictions of 51.7, as it saw declines in employment, new and outstanding business and business expectations. Manufacturing fell as expected to 50.5 from 50.7 on weaker employment. The regions two largest economy’s Germany and France both saw a significant decline in services and mild improvements in manufacturing. Despite, the region’s economy showing signs of weakening the ECB continues to reaffrim its hawkish stance, with Axel Webber taking his turn stating that globilization is heightening inflation. - [I]John Rivera, Currency Analyst[/I]