Services PMI in France increased to 49.60 points in June from 49.30 points in May 2024.
Key findings include: New business contraction weighs on services activity; output price inflation slows to marginal pace; business confidence and employment growth ease.
“Election uncertainty stalled the French services sector in June. The HCOB Business Activity Index showed a little improvement compared to the previous month but still stayed below 50, signalling contraction. Some panel members linked the drop in business activity to election-related uncertainty. It’s thinkable that the upcoming elections were the decisive factor, particularly because new orders have suddenly dropped. French service companies completed more backlogs of work in response to weaker demand, which explains the gap between the indices for output and new orders.” said Norman Liebke, Economist at Hamburg Commercial Bank.
Composite PMI decreased to 48.80 points in June from 48.90 points in May of 2024.
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