Activity in France’s dominant services sector remained subdued last month, a survey showed, as inflation continued to weigh on demand, adding to fears the euro zone’s second-biggest economy could be headed towards a recession. | Reuters
PARIS – Activity in France’s dominant services sector remained subdued last month, a survey showed on Wednesday, as inflation continued to weigh on demand, adding to fears the euro zone’s second-biggest economy could be headed towards a recession.
“Overall, the latest survey data round off the worst quarterly performance in the sector since early 2021 and will fuel the calls of an impending recession…”, said Joe Hayes, senior economist at S&P Global which compiles the survey.The final purchasing managers index for France’s services sector reached 49.5 points in December, slightly up from 49.3 points in November. The final December figure came in above a flash estimate of 48.1.
Any reading above 50 points marks an expansion in activity, while a number below 50 shows a contraction.
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