The euro zone's manufacturing sector recorded growth for the first time since March, a survey revealed. The purchasing managers' index for the 12-nation single currency zone rose to 50.8 in July from 49.9 in June, sources said. The reading is slightly above analysts' forecasts for a slightly smaller rise to 50.5. A reading above 50 indicates that the manufacturing sector is generally expanding, while a reading below 50 suggests that it is generally contracting. This is the first time since March that the reading has been above 50. A more detailed breakdown of the release shows that the new orders sub-index rose to 52.3 in July, its highest level since February, from 50.9 in June. The output index rose to 52.8 from 51.0 in June, but employment continued to fall, dropping to 47.8 from 48.2. The euro zone PMI is jointly produced by Reuters and NTC Research. CALYON analyst Mitul Kotecha described the report as "positive", although he said much of the gain is directly attributable to the weaker euro, with better exports boosting orders. With the euro stabilising recently, however, this factor is unlikely to contribute to improvements in confidence in the months ahead, he said. "It is difficult to see any sustained improvement in manufacturing confidence," he said.