FX.co ★ French Private Sector Downturn Deeper After Revision

The HCOB France Composite PMI for August 2026 was revised down to 48.5 from a flash estimate of 48.8, falling further below July’s reading of 49.4. This confirmed an eighth consecutive month of contraction, with the pace of decline accelerating compared with July. The downturn remained entirely driven by the services sector, while manufacturing output recorded a slight increase in August. Demand nevertheless stayed weak across both sectors, leading to a drop in total new orders and a steeper decline in backlogs. Employment fell again, and although input cost pressures eased to a six-month low, this did not result in lower output price inflation. Lastly, business confidence deteriorated for the first time since May.