FX.co ★ Italy Manufacturing PMI Signals Modest Recovery

The HCOB Italy Manufacturing PMI climbed to 50.6 in February 2026, up from 48.1 in January and surpassing the market consensus of 49.5. This three-month high signaled a modest improvement in operating conditions: both output and new orders returned to growth after two consecutive months of contraction, even as export sales declined at their fastest rate in five months amid heightened global uncertainty. Employment rose only slightly, which in turn constrained input purchasing. At the same time, input cost inflation accelerated to its highest level since October 2022, and output prices increased at the quickest pace in ten months. Nevertheless, business confidence strengthened, reaching its highest level in more than five years.