Spain Services PMI2011-2021 Data | 2022-2023 Forecast | Calendar | Historical

The IHS Markit Spain Services PMI declined sharply to 41.7 in January from 48.0 in the previous month and below market expectations of 45.3. The latest reading pointed to the sixth successive contraction in the services sector and to a considerable degree, as local restrictions related to coronavirus pandemic and inclement weather conditions served to restrict activity. Demand from both home and abroad was again down, and a lack of new work meant firms chose to cut employment numbers at their units for an eleventh successive month. Nonetheless, operating expenses increased at an accelerated rate, but the difficult business environment led to another round of falling output charges. Finally, service providers retained a reasonable degree of confidence that activity will increase over the coming 12 months, although overall optimism was at its lowest in three months amid worries over the long-term economic impact of the pandemic.

The IHS Markit Spain Services PMI rose to 48 in December of 2020 from 38.5 in the previous month, above market expectations of 45. The latest reading pointed to the softest contraction in services activity in the current five-month sequence of falls. Activity and new work both continued to fall, but at slower rates, whilst confidence about the future improved markedly to a two-and-a-half year high on the back of positive vaccine developments related to the global coronavirus disease 2019 pandemic. However, challenging current conditions and excess capacity at their units meant firms saw little choice but to make further cuts to their staffing levels.

The IHS Markit Spain Services PMI fell to 39.5 in November of 2020 from 41.4 in October and compared to market forecasts of 36.6. Services economy suffered a further contraction as restrictions related to the global coronavirus pandemic had a detrimental impact on consumer mobility and demand. A steep reduction in new business led to another round of job losses as companies were able to comfortably keep on top of workloads. However, on a more positive note, recent news on vaccine development led to a jump in business confidence to its highest level in 20 months.

The IHS Markit Spain Services PMI dropped 41.4 in October 2020 from 42.4 in September but above market expectations of 40. The reading pointed to the third consecutive contraction in the services sector and the sharpest since May. Both activity and new orders shrank at the fastest pace in five months with firms indicating that rising infections and worries amongst consumers regarding the pandemic undermined sales. Also, export orders declined sharply and for the eighteenth successive month while the job shedding rate eased to its weakest in the current eight-month period of contraction. On the price front, input price inflation rose boosted by higher labour and transportation cost, while output charges fell for an eighth straight month with the rate of deflation slowing to a four-month low. Finally, sentiment improved to its highest level since June lifted by hopes of a strong recovery in demand and sales once the current situation regarding COVID-19 was brought under control.