PARIS: France’s private sector expanded in August for the first time since April, driven by the upturn in services activity, flash survey results from SandP Global showed on Thursday.
The composite output index rose to 52.7 in August from 49.1 in July, dpa reported. The score was forecast to remain unchanged at 49.1. This was the first time since April that the index has posted above the 50.0 threshold and also suggested the strongest expansion since March 2023.
The uplift in private sector output was exclusively driven by services. Services providers benefited from the Olympic Games. The services Purchasing Managers’ Index (PMI) hit a 27-month high of 55.0 compared to 50.1 in July.
The reading was seen at 50.2.On the other hand, the manufacturing PMI declined unexpectedly to an eight-month low of 42.1 from 44.0 a month ago. The score was forecast to rise to 44.4.
“The French economy will likely grow 0.5 percent in the third quarter,” Hamburg Commercial Bank Economist Norman Liebke said.
Source: Emirate
s News Agency