FX.co ★ Italy’s Construction Slump Eases as HCOB PMI Climbs Toward Growth in May

Italy’s construction sector showed a marked improvement in May 2026, with the HCOB Italy Construction Purchasing Managers’ Index (PMI) rising to 49.4 from 44.8 in April, according to data updated on 4 June 2026. The month‑over‑month gain signals that the downturn in activity is easing, even though the index remains just below the 50-point threshold that separates contraction from expansion.

The April reading of 44.8 had highlighted a sharper decline in construction activity compared with the previous month, but May’s rebound suggests conditions are stabilising. While still in negative territory, the move toward 50 points indicates that the pace of contraction has slowed significantly over the latest comparison period.

On a month‑over‑month basis, the latest “actual” result for May reflects a more favourable shift than the “previous” change recorded in April, when activity weakened from the month before. The improvement in May will be closely watched by investors and policymakers looking for signs that Italy’s construction industry may be approaching a turning point.