FX.co ★ Italy Private Sector Growth Unchanged in September

In September, the HCOB Italy Composite PMI remained steady at 51.7, indicating modest growth in the private sector as the third quarter concluded. Although the headline figure was unchanged, it masked diverging sectoral trends: service activities experienced their fastest expansion in four months with a PMI of 52.5, whereas manufacturing output declined, registering a PMI of 49 following a slight recovery in August. New business inflows were stable, with overall growth primarily driven by domestic demand, even as export orders continued to decline. Employment continued to rise at a steady rate. On the cost side, input price inflation reached a three-month peak, although companies increased their selling prices only marginally, reflecting the weakest rise in a ten-month period.