Latest data released by Markit - 3 April 2020
- Prior 52.1
- Composite PMI 20.2 vs 25.0 expected
- Prior 50.7
That's an absolute stinker of a PMI reading as the services component falls to a record low, but again it is unsurprising considering the circumstances. The real fear is that April will continue to be worse as lockdown measures continue to extend in the country.
Markit notes that:
"The Italian services sector was hit substantially by the COVID-19 pandemic in March, with the Business Activity Index dropping by nearly 35 points and signalling the most marked decline in services output since the survey began in January 1998.
"A record rate of contraction in new business was also recorded, with the adverse impact of the coronavirus pandemic and subsequent shutdowns and emergency measures taken by the government to try and limit the outbreak unsurprisingly weighing on the economy.
"With manufacturers also struggling, Italian private sector output also declined at the sharpest rate since the series began in January 1998. Service providers drove the overall downturn, although both sectors reported record declines in output. Furthermore, sentiment with regards to activity over the coming 12 months plummeted to the lowest level on record.
"Overall, March data point to an extremely challenging time for the Italian economy and, for that matter wider society, with the sheer scale of the impact on output, employment and investment likely to be felt for a long time to come."
