(Il Sole 24 Ore Radiocor) - Milano, 7 apr - In March, Spain's purchasing managers' index (PMI) for the services sector rose to 53.3 from 51.9 the previous month, according to data released by S&P Global.

The composite output index, a weighted average of services PMI and manufacturing output, rose to 52.4 from 51.5 the previous month, with growth driven by the services sector as manufacturing output declined for a second month in a row.

A reading below 50 signals a sector contraction and one above an expansion.

'Spain's service sector expanded at a solid rate in March, with growth picking up on February's low. However, despite this improvement, when combined with a downturn in manufacturing output in March, Spain's economy has experienced a weaker growth profile overall in the first quarter of 2026. Expect therefore official data on GDP for early 2026 to show a slower rate of expansion than the 0.8% quarterly gain reported for the fourth quarter of 2025," commented Paul Smith, economics associate director at S&P Global Market Intelligence.

'How growth will develop in the coming months will be very much dependent on the duration of the war in the Middle East.

The conflict has already led to a huge degree of business and consumer uncertainty, with panellists noting that services new business growth has softened, and export business, already under strain before the start of the war, has deteriorated sharply.

'Moreover, services firms are seeing big spikes in their energy and fuel bills, leading to the strongest increase in overall input costs for nearly three years. With output charges also rising markedly, firms are understandably worried about the impact that high prices will have on spending in the near-term - and therefore their business.

performance over the coming months.'

(RADIOCOR) 07-04-26 09:43:30 (0183) 5 NNNN