Markit Economics released its manufacturing purchasing managers' index (PMI) for Italy on Monday. Italy's manufacturing purchasing managers' index (PMI) climbed to 55.6 in December from 54.9 in November. It was the highest level since March 2011.

The increase was driven by rises in output, new orders and employment.

"A weak euro, recovering domestic demand and falling global commodity prices have provided the necessary tailwinds to get things moving. The goods-producing sector has solid momentum heading into the New Year, with new order growth accelerating and companies taking on new staff to cope with rising production requirements," Markit economist Phil Smith said.