In May, private sector activity in the eurozone unexpectedly contracted for the first time this year, with the Composite PMI falling to 49.5. The services sector saw a significant decline, while manufacturing remained weak. Business sentiment deteriorated, particularly in services, leading to a subdued economic outlook. Germany's PMI fell to 48.6, with services dragging the economy lower. France showed slight improvement in manufacturing, but services remained weak. Eurozone equities fell despite the euro holding firm against the dollar.