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French business activity contracts much more than expected in February, PMI shows

French business activity slumped much more than expected in February, according to a survey published on Friday, as new business and backlogs in the dominant services sector sharply declined. The HCOB France flash purchasing managers index (PMI) for services,
The French economy experienced a significant contraction in business activity during February, as indicated by the latest Purchasing Managers' Index (PMI) data. The PMI for the services sector dropped to 48.0 from January's 49.4, falling below the 50 threshold that separates expansion from contraction. This decline was steeper than anticipated, with economists expecting a figure of 49.0. The manufacturing PMI also decreased, moving from 43.2 to 46.8, though it was slightly better than the forecasted 43.5. The composite PMI, which encompasses both sectors, fell to 47.7 from 49.1, signaling a broader economic slowdown. This contraction was attributed to a sharp drop in new orders, particularly in the services sector, alongside a general decrease in demand and ongoing concerns about inflation and economic stability.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/economy/french-business-activity-contracts-much-more-than-expected-in-february-pmi-shows/ar-AA1zv4xh ]