FX.co ★ France Services PMI Improves in March

The HCOB France Services PMI registered at 46.6 for March 2025, slightly up from 45.3 in the previous month and exceeding market projections of 46.3, according to preliminary data. Despite this slight improvement, it remains the seventh straight month of sub-50 readings, signifying ongoing challenges in service sector demand. The downturn in service sector output was the second most pronounced since January 2024, largely due to persistent economic uncertainties, geopolitical tensions, and a decline in new business inquiries. Moreover, the sector faced continued job reductions, marking the fourth month of decreasing payrolls. On the pricing aspect, input costs in the services sector increased at the slowest rate in three months, indicating a softening of inflationary pressures, although prices charged to consumers went up.