French services economy deteriorates at faster pace in July amid worsening demand and persistent inflationary pressures

The French service sector started the third quarter with a contraction in activity, according to the latest HCOB PMI® survey conducted by S&P Global, indicating a further weakening of the economy after June’s first decline in services output for five months. Overall, the contraction in business activity was the fastest for almost two-and-a-half years. The deterioration in activity during July was accompanied by a slowdown in jobs growth, as well as a further reduction in the level of incoming new work. However, business confidence improved after a marked slump in June. Meanwhile, the slowdown of inflation