Spain's services economy expanded for the twentieth consecutive month in April, but growth in both business activity and new orders lost momentum, survey data from Hamburg Commercial Bank (HCOB) showed. The HCOB Spain Services PMI fell to 53.4 in April from 54.7 in March, marking the lowest reading since November, though still above the 50.0 threshold that separates growth from contraction. Firms reported a more challenging business environment, citing concerns over tariffs and broader market uncertainty, which also dragged future expectations to a five-month low. While foreign demand weakened, overall new business remained strong enough to prompt further job creation, albeit at the slowest pace so far this year. Rising staff costs and supplier charges pushed input costs higher, leading firms to raise output prices again—though at the slowest rate since February. Despite softer sentiment, companies remained broadly optimistic about growth in the year ahead, supported by expectations of new projects and increased commercial activity. Attribution: Amwal Al Ghad English Subediting: M. S. Salama
