FX.co ★ Spain Service Sector Growth Softens In March

Spain's service sector logged back-to-back increases in both activity and new business in March but growth rates softened amid heightened uncertainty due to the war in Ukraine, survey results from S&P Global showed on Tuesday.

The services Purchasing Managers' Index came in at 53.4 in March, down from 56.6 in February. Nonetheless, a score above 50.0 indicates expansion in the sector.

Confidence was down noticeably and input and output price inflation strengthened further in March. Meanwhile, employment increased at the steepest pace since last November.

As there was a slowdown in growth of both the manufacturing and service sectors during March, the composite output index dropped to 53.1 from 56.5 in February.

Supply-side constraints, price pressures and the uncertainty created by the war in Ukraine all served to constrain output gains, the survey showed.