FX.co ★ Spain Services PMI Expands More than Expected

The HCOB Spain Services Purchasing Managers' Index (PMI) climbed to 54.3 in September 2025, up from 53.2 in August, surpassing the market's forecast of 53. This increase marks the 25th successive month of sector expansion, driven by the most substantial rise in new business since January, amid favorable demand conditions and successful client acquisition. Employment figures also reflected growth, underlining a generally positive business outlook. Job creation has persisted for three consecutive years, although September's pace of employment growth was the most modest since November 2023. On the pricing front, input costs remained significantly high by historical standards, with increased staffing expenses highlighted as a primary factor. Consequently, output charges continued their upward trajectory, now marking a four-and-a-half-year stretch of persistent increases. Business confidence remained optimistic for the coming months, with firms expecting a boost in activity, buoyed by solid demand forecasts and strategic expansion plans.