Economic Decline in Spain’s Service & Manufacturing Sectors Accelerate in November

Posted on December 10, 2011

The manufacturing and sectors in Spain deteriorate further,  according to the latest Markit® PMI surveys. The Markit®/ BME Spain Manufacturing PMI registered 43.8 while the Service PMI registered 36.8 in October.

Andrew Harker, economist at Markit and author of the reports said:
“The pace at which Spanish service sector activity has declined in the past two months is particularly concerning, and it now seems highly likely that the economy will record a contraction over the final quarter of the year. Although the problems in the eurozone clearly impact on the Spanish economy, it is economic crisis and a lack of demand in Spain itself that is more widely reported as being behind the current downturn.”

“The manufacturing sector remained stuck in a rut in November as the economic crisis in Spain showed no signs of waning. Output and new orders both continued to fall at substantial rates, while job shedding intensified, adding further misery to the labour market. A second successive fall in input costs provides some respite on the price front, but this is only a slight consolation given that factory gate charges dropped again.”

PMI Index Aug Sep Oct Nov
Manufacturing     43.9 43.8
Services     41.8 36.8