Financial News: French Private Sector Moves Closer To Stabilization

French Private Sector Moves Closer To Stabilization

08/21/2025 - 03:53:00 (RTTNews)

(RTTNews) - France private sector activity showed signs of stabilization in August after a sustained period of contraction, flash survey results from S&P Global showed on Thursday.

The headline HCOB composite output index posted 49.8 in August, down from July's 48.6. The flash reading was the highest in exactly a year.

Both manufacturers and service providers logged small falls in August. The services Purchasing Managers' Index rose to 49.7, while it was forecast to remain unchanged at 48.5.

At the same time, the manufacturing PMI advanced unexpectedly to 49.9 from 48.2 in the previous month. The reading was forecast to fall to 48.0.

"Although there was a slight improvement in the index compared to the previous month, a clear turning point is still not visible," Hamburg Commercial Bank Junior Economist Jonas Feldhusen said.

"On a more positive note, both the manufacturing and services sectors saw less pronounced contractions, which could be interpreted with cautious optimism as an early sign of stabilization," Feldhusen added.

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