FX.co ★ Italian Construction Activity Contracts Sharply as June HCOB PMI Falls to 45.4

Italy’s construction sector showed a marked deterioration in June 2026, as the HCOB Italy Construction Purchasing Managers’ Index (PMI) dropped to 45.4, down from 49.4 in May 2026. The reading, updated on 06 July 2026, signals a deeper contraction in activity on a month-over-month basis, with the index now moving further below the 50-point threshold that separates expansion from contraction.

The decline from May to June highlights a worsening month-over-month trend in construction, following an already subdued performance in May, when the PMI stood at 49.4 compared with the previous month. The latest figure suggests that Italy’s construction industry is facing increased headwinds, with momentum weakening as the sector moves further away from stabilization and into clearer contraction territory.