The headlines:

The key standout is the divergence in the services and manufacturing sectors, with the acceleration in activity in the former helping to offset the slump in the latter.

The details reveal that the jump in services activity comes as we see a further reopening of the economy in general as the influence of the COVID-19 pandemic eases further. Meanwhile, the slump in manufacturing comes as supply chain disruptions continue to persist and we are also observing a cooling in demand conditions. The latter in particular isn't quite a positive sign.

So, what can we conclude from the above findings?

Well, for one it suggests that the euro area economy is continuing to be more resilient than expected. However, the fear is that after the initial rebound in services activity on the opening up of the economy, we could see growth conditions cool. But the summer time is approaching soon and that could help to bolster activity if health and travel considerations stay as they are.

That said, inflation pressures are continuing to prove to be more sticky and persistent. The average prices charged for goods and services rose at an unprecedented rate based on the surveys with these higher costs also being passed on to consumers. The surge in cost pressures isn't exactly a good thing as it will contribute more to a potential cost-of-living crisis in the region amid rampaging inflation.

If you add that to the worries in manufacturing conditions, weighed down by the Russia-Ukraine conflict and lockdowns in China, it could make for a more challenging months to come despite today's better data.