Eurozone economic growth accelerates in October; Germany a major growth driver

Markit Eurozone Composite PMI index rose to 53.3 in October, up from 52.6 in September, but below the earlier flash estimate of 53.7. A weaker-than-expected turnout from the French services industry led Markit on Friday to cut its composite eurozone purchasing managers' index in October from its initial estimate.

The final Markit Eurozone PMI Services Business Activity Index was cut to 52.8 from the earlier flash estimate of 53.5 as French service growth disappointed. Despite the revision downward from the initial estimate, the overall eurozone services index rose from September, when it came in at 52.2.

Germany was the main driver behind the expansion in the composite and the services indices in October. Spanish composite index also edged higher month on month, Italian growth appeared to "have almost ground to a halt" ahead of December's constitutional referendum and Irish growth slowed sharply amid Brexit worries.

"Data points to static fourth-quarter eurozone GDP growth of 0.3%, with the German economy expanding by 0.5% and Spain by 0.6% to 0.7%," said Markit 's Chris Williamson.

Today's data followed Markit eurozone manufacturing sector PMI on Wednesday which rose to a 33-month high of 53.5 in October, above its initial 53.3 forecast and up from 52.6 in September.