The eurozone's service sector continued to shrink in June and business confidence plunged according to surveys compiled by Markit.

The news is set to add to pressure on the European Central Bank to cut the cost of borrowing in the eurozone when it meets on Thursday.

The rate of decline eased slightly across service industries such as finance and distribution last month.

Service sector firms also shed staff for the sixth month in a row.

Workforces in Spain and Italy were worst hit but jobs also fell in France and Ireland.

Germany's service sector remained stagnant but firms bucked the eurozone trend by hiring new workers.

Source URL: http://www.bbc.co.uk/news/business-18703059

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