FX.co ★ French Services PMI Revised Slightly Lower

The December 2025 reading for the HCOB France Services PMI marked a slight decrease to 50.1, down from November's 51.4, and adjusted from the initial estimate of 50.2. This figure indicates that the activity levels in France's service sector remained largely stable, with demand essentially stagnant throughout the month. Although a number of firms experienced increased interest from clients, many potential clients and existing customers hesitated to make spending decisions due to prevailing uncertainties. Employment levels mirrored this stagnation, showing little change from November's trends. Regarding costs, the inflation rate for input prices stayed significantly low, as companies chose to absorb these increases rather than transferring them onto clients. Meanwhile, output prices generally remained unchanged, with several businesses pointing to competitive market pressures as a justification for maintaining steady pricing. Moving forward, companies in the service sector exhibited a cautious pessimism, with growth expectations lingering near historically subdued levels.