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ITALY DATA: Fall In New Business As Demand Softens - August Services PMI
In contrast to Spain, Italian services firms saw falls in new business as a result of subdued demand conditions, according to the August services PMI. However, output charge inflation increased even as input cost inflation “dropped below the long-run average”.
The rate of expansion in the Italian services sector has fallen for four consecutive months, after the August services PMI was lower than expected at 51.4 (vs 52.5 cons, 51.7 prior).
Key notes from the release:
- “The decrease in new work was only slight, but nevertheless marked the first signs of demand weakness of the year so far”.
- “Subdued client demand from abroad reportedly contributed to the latest fall in total new sales”.
- “To support current workloads, Italian services firms continued to recruit new staff in August”
- “Services firms continued to report input price hikes in August, with some firms blaming increased staffing and service costs”.
- “Firms raised charges at the most pronounced rate for three months”.
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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.