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Italy's manufacturing activity continued to expand strongly in February, though at the weakest pace in five months, survey data from IHS Markit showed Thursday.

The headline Purchasing Managers' Index, or PMI, dropped 56.8 in February from 59.0 in January. However, any reading above 50 indicates expansion in the sector.

Among components, both output and new orders rose markedly during February, but at their weakest rates for five months. Employment also rose at a solid pace.

"There was a survey record increase in backlogs at Italian manufacturers and intensifying costs pressures, with companies also taking the opportunity of strong market conditions to raise their prices at the greatest rate in nearly seven years," Paul Smith, Director at IHS Markit, said.