Spain Services PMI2011-2020 Data | 2021-2022 Forecast | Calendar | Historical

The IHS Markit Spain Services PMI fell to 52.3 in January of 2020 from 54.9 in December, well below market expectations of 53.9. The reading pointed to the smallest growth in services activity since November of 2013 as political uncertainties weighed on demand and business confidence. The downturn in business activity growth was closely linked to similar weaker gains in new work. Retail Sales increased at the slowest rate since September 2013 and foreign sales fell for the ninth month amid global uncertainties related to Brexit and global trade wars. Still, employment continued to rise although at a slower pace. Input prices increased sharply due to rising labour costs and higher fuel. Whilst service providers sought to pass on their increased costs to clients, output charge inflation was only marginal in January. Finally, confidence about the future sank to its joint lowest level in over six years (matching that seen last August), amid political uncertainties in the country.

The IHS Markit Spain Services PMI jumped to 54.9 in December of 2019 from 53.2 in November, beating market expectations of 53.9. The reading pointed to the strongest growth in services activity in nine months, mainly due to new business. However, export sales fell for the eighth month as political and economic uncertainties continued to weigh on demand in external markets. Also, employment increased and backlogs of work went up the most since August of 2018. On the price front, operating expenses rose due to higher salaries and fuel and utility bills while output charges were nearly unchanged. Business confidence improved to a 5-month high, boosted by plans to bolster commercial and strategic activities, plus some encouragement from higher demand over the past two months. However, worries over domestic politics were widely reported by the survey panel, and are expected to weigh on investment and economic activity in the coming months.

The IHS Markit Spain services PM rose to 53.2 in November 2019 from 52.7 in the previous month and above market expectations of 51.9. New orders advanced faster due to a general increase in demand and payroll numbers extended the current run of growth to 62 months. On the price front, input cost rose the most since July on higher transportation and utility costs while output prices were reduced amid ongoing strong market competition. Finally, confidence about the future picked up to a four-month high despite several firms reported worries around the formation of a new government and its unknown impact on areas related to regulation, wages and general economic activity.

The IHS Markit Spain services PMI fell to 52.7 in October 2019 from 53.3 in the previous month and slightly below market expectations of 52.8. The latest reading pointed to the weakest expansion in the services sector since September last year, as new orders rose at the softest rate in three months and new export orders dropped at a series record pace amid ongoing political and economic uncertainties. Also, the job creation rate went up at the slowest pace since survey began, amid softer trends in both activity and new work. On the price front, input prices rose sharply boosted by higher staffing costs, energy, fuel and food prices. Finally, sentiment remained positive, amid plans for fresh commercial strategies and the introduction of new services, economic and political uncertainties, both within and outside of Spain, continued to undermine the outlook.