Spain Factory Activity Surprises on the Upside

The S&P Global Spain Manufacturing PMI rose to 51.7 in April 2026 from 48.7 in March, surpassing market forecasts of 49.5. The latest data signals a return to growth in manufacturing activity for the first time since last November, driven by a solid rise in production, which increased at its fastest pace in five months. This was supported by a slight rebound in new orders following March’s sharp contraction, partly reflecting inventory accumulation as clients sought to secure goods amid product shortages and supply disruptions linked to the Middle East war. Export orders continued to decline for the eighth consecutive month, though at a slower pace, highlighting underlying demand fragility. Purchasing activity and employment decreased again. Price pressures intensified, with input costs rising at the fastest rate since June 2022 and selling prices increasing at their steepest since November 2022. Sentiment remained historically weak, with firms highly uncertain about the outlook.
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