FX.co ★ Italy Services Activity Growth at Over 2½-Year High

In November 2025, the HCOB Italy Services PMI climbed to 55, improving from October's 54 and surpassing market forecasts of 54. This figure marks the highest level recorded since April 2023. The continued rise in new orders, initiated in February, can be attributed to successful strategies for reaching new customers. Output growth also reached its strongest level in over one-and-a-half years. This growth was attained despite a renewed decline in export orders due to sluggish international demand. Expectations for the upcoming year improved to their highest in four months, fueled by anticipated investments and the acquisition of new clients. Supporting these growth expectations, employment increased for the tenth month in a row, which in turn helped reduce the backlog of work. On the pricing front, input cost inflation surged to its highest point since June, spurred by increasing wages and energy expenses. Consequently, service providers adjusted their selling prices upward to partially mitigate these rising costs.