Latest data released by Markit - 4 November 2021
- Composite PMI 54.7 vs 54.7 prelim
The preliminary report can be found here. No change to initial estimates as this reaffirms a slight bump in services sector momentum in the French economy with new orders and employment increasing markedly.
That said, inflationary pressures are staying elevated with output price inflation among the sharpest seen over the past decade. Markit notes that:
"The economic recovery progressed further in October. Services output is still rising at a relatively sharp rate by historical standards as activity levels within the economy return to pre-pandemic levels. Demand conditions are still robust, and firms are adding more staff to the payroll. Jobs growth was at its sharpest for over two decades in October, which should facilitate a continuation of the strong growth trend we've seen since the summer.
"However, we cannot ignore what's happening over in the manufacturing sector. The recovery is becoming highly dis-jointed as supply issues disrupted goods producers immensely in October.
"Spillover effects remain confined to service sector prices so far. Input costs rose at the fastest pace for over 13 years, keeping output charge inflation at an elevated rate. Economic recovery efforts heading into the winter appear to be resting on resilience in the services economy."
