FXstreet.com (Barcelona) - Manufacturing activity in the Euro Zone is approaching levels close to contraction, according to the latest flash estimation manufacturing PMI, which continues declining in a context of an strong euro and after the credit crunch which seem to be suffocating European manufacturing sector.

The flash estimation of the Euro Zone's Manufacturing PMI advances a decline to 51.5 in October from 53.2 in September, while te services PMI recovers to 55.6 in October from 54.2 in September.

The composite PMI has declined slightly to 54.5 in October from 54.7 in September.