Eurozone overall demand has fallen for the first time in eight months, with the economy suffering a severe blow from the Middle East war.

A survey shows that due to the rise in energy costs caused by the Middle East conflict, the supply chain has been disrupted, and the expansion of the private sector in the Eurozone in March has significantly weakened. Overall demand, a key indicator of economic health, has decreased for the first time in eight months. The Eurozone's composite PMI fell from 51.9 in February to 50.7 in March, according to S&P Global. Chris Williamson, Chief Business Economist at S&P Global Market Intelligence, said: "The March PMI indicates that the Eurozone economy has been severely impacted by the Middle East conflict." Due to weak service sector demand, new business in March declined after steadily improving since July. Overall export orders also fell again, with international service sector demand recording its largest drop in six months. Service sector activity has nearly stalled, with the business activity index falling from 51.9 in February to 50.2, the lowest level in 10 months. Manufacturing output growth remained robust. Among the major economies, Spain led the way in growth, while France and Italy experienced contraction. Germany's expansion slowed to its slowest pace so far this year.