Global all-industry activity slowest since Nov 2001

LONDON, Feb 5 (Reuters) - Global private-sector business activity fell into contraction in January, and to its lowest since the months after the Sept. 11, 2001 attacks on the U.S. owing to a marked deterioration in services, data showed on Tuesday.

The Global Total Output index, produced by JP Morgan with research and supply management organisations, plunged to 47.7 in January, the lowest since November 2001. That was down significantly from 53.8 in December and well below the 50 mark that divides growth from contraction.

This was driven mainly by a huge drop in a gauge of U.S. non-manufacturing activity but was also hurt by contraction in three of the euro zone's four largest economies, Germany, Italy and Spain.

"Taken at face value, the latest survey results suGgest the economy has tipped into recession, but this view has yet to be verified by other data," David Hensley, economist at JP Morgan said.

The new business index for manufacturing and services together fell to 47.8 from 52.9, the lowest since November 2001, while employment contracted for the first time since September 2003 -- with most of the decline centred on the U.S.

The index combines survey data from countries including the United States, Japan, Germany, France, Britain, China and Russia.

(Reporting by Jonathan Cable, editing by David Christian-Edwards)