Italy Service Sector Costs Hit Three-Year High in April
Italian service costs hit a three-year high in April as input inflation rose to 65.5. The headline PMI improved to 49.8, signaling a move toward stabilization.
Italy service sector input costs rose to 65.5 in April, the highest level in over three years. The headline services PMI reached 49.8, beating the 47.6 median estimate from a Reuters survey of 11 analysts. This data suggests the eurozone's third-largest economy is stabilizing despite intense inflationary pressure on margins.
### Middle East Conflict Drives Input Inflation Service providers faced the sharpest cost acceleration since February 2023, according to the HCOB PMI report. The input price index climbed from 64.6 in March, fueled primarily by geopolitical instability in the Middle East.
