France’s service PMI in May
According to Markit Economics, France’s service PMI weakened month-over-month in May, falling to 54.3 from 57.4. It met the market estimate of 54.2.
Key factors driving France’s service PMI in May were as follows:
- Production volume and output slowed.
- New business orders, business activity, and export orders rose at a slower rate.
- Service-sector employment weakened.
Despite some political instability in the Eurozone, France’s manufacturing activity improved marginally in May. However, its service activity slowed due to client demand weakening.
The iShares MSCI France ETF (EWQ), which tracks France’s equity market, fell 2.6% in May, while the Vanguard FTSE Europe ETF (VGK), which tracks Europe’s equity market, fell 2.4%. In the next part of this series, we’ll analyze Spain’s service PMI last month.