So far, the new Covid-19 wave is having only a limited impact on business activity in the 19 countries that use the euro. The Purchasing Managers’ Index from IHS Markit, a key gauge of the economy, rose in November after slipping to a six-month low in October, according to data released Tuesday.

But expectations for the future are darkening. Austria announced last week that it’s going back into a national lockdown. Skyrocketing infections in Germany have also sparked questions about whether the region’s largest economy could reimpose sweeping restrictions.

“A stronger expansion of business activity in November defied economists’ expectations of a slowdown, but is unlikely to prevent the euro zone from suffering slower growth in the fourth quarter, especially as rising virus cases look set to cause renewed disruptions to the economy in December,” said Chris Williamson, IHS Markit’s chief business economist.

Consumer confidence in the…

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