Mumbai, May 6 -- The eurozone economy showed signs of stagflation at the start of the second quarter of 2026, according to the latest S&P Global PMI data. A decline in business activity was accompanied by rising inflation and weakening confidence.
The S&P Global Eurozone Composite PMI Output Index fell to 48.8 in April from 50.7 in March, dropping below the 50 mark for the first time in nearly one-and-a-half years. This indicates a modest contraction in overall private sector activity.
The slowdown was mainly driven by the services sector, where the PMI fell sharply to 47.6 from 50.2, marking the fastest decline in output since February 2021. Demand for services weakened further, with new business falling at the quickest pace since Octobe...