Italy's service sector activity declined for the first time in nearly two-and-a-half years in October, amid slower growth in new business, survey data from IHS Markit showed on Tuesday.
The services Purchasing Managers' Index, or PMI, fell to 49.2 in October from 53.3 in September. Economists had forecast a score of 52.
A PMI reading below 50 suggests contraction in the sector.
New business grew at the slowest pace in 44 months amid subdued client demand. Consequently, job creation fell to a 14-month low.
Profit margins remained under pressure as selling prices fell for a ninth month, while operating costs registered strong growth.
Meanwhile, business confidence remained solid with over a third of businesses expecting activity to be higher in a year's time.
The material has been provided by InstaForex Company -
www.instaforex.com