Italy’s services sector grew in June at its fastest rate for three-and-a-half years, a survey showed on Monday, raising hopes for a firm economic rebound from last year’s COVID-19-induced recession.
IHS Markit’s Business Activity Index for services jumped to 56.7 in June from 53.1 in May, moving further above the 50 mark that separates growth from contraction and posting its highest reading since January 2018.
The result was slightly stronger than expected. The median forecast in a Reuters survey of 12 analysts pointed to a reading of 56.0.
Boosted by the easing of coronavirus restrictions, Italy’s services sector now seems to be catching up with the smaller manufacturing sector which has been seeing healthy growth for the last year.
Factories, unlike many services businesses, remained open despite the COVID-19 emergency.
Despite the jump in the overall index, the sub-index for new business in the sector edged down slightly in June to 56.5 from 57.1 the month before, still indicating strong growth.
The composite Purchasing Managers’ Index for services and manufacturing rose to 58.3 in June from 55.7, climbing further above the 50 level and posing its highest reading since January 2018.
Italy’s services sector grew in June at its fastest rate for three-and-a-half years, a survey showed on Monday, raising hopes for a firm economic rebound from last year’s COVID-19-induced recession.
IHS Markit’s Business Activity Index for services jumped to 56.7 in June from 53.1 in May, moving further above the 50 mark that separates growth from contraction and posting its highest reading since January 2018.
The result was slightly stronger than expected. The median forecast in a Reuters survey of 12 analysts pointed to a reading of 56.0.
Boosted by the easing of coronavirus restrictions, Italy’s services sector now seems to be catching up with the smaller manufacturing sector which has been seeing healthy growth for the last year.
Factories, unlike many services businesses, remained open despite the COVID-19 emergency.
Despite the jump in the overall index, the sub-index for new business in the sector edged down slightly in June to 56.5 from 57.1 the month before, still indicating strong growth.
The composite Purchasing Managers’ Index for services and manufacturing rose to 58.3 in June from 55.7, climbing further above the 50 level and posing its highest reading since January 2018.
Photo: EPA-EFE/ANGELO CARCONI
