Key facts
- Spain's services sector activity and new business rebounded in June.
- The Spain Services PMI Business Activity Index increased to 54.2 in June, up from 50.1 in May.
- New business growth reached its fastest pace in six months.
- Employment growth accelerated to its highest level since March.
- Business confidence improved to a four-month high.
- Input cost inflation slowed to a four-month low, and output price inflation eased.
Spain's services sector experienced its strongest growth in June, according to a survey by S&P Global. The Spain Services PMI Business Activity Index climbed to 54.2, up from 50.1 in May, indicating a significant rebound in activity and sales. This expansion was primarily fueled by a surge in domestic demand and new business, which saw its fastest growth in six months. Export sales remained largely unchanged after previous declines. Employment growth also accelerated, reaching its highest point since March and extending a 45-month streak of job creation. Business confidence improved to a four-month high, bolstered by expectations of stronger sales and a perceived easing of Middle East tensions. Input cost inflation slowed to a four-month low, while output price inflation decreased for the third consecutive month to its weakest level since January. The overall S&P Global Spain Composite PMI also rose to 53.3 in June, up from 50.2 in May, with the services sector driving this improvement while manufacturing output declined.