Eurozone construction PMI fell to 43.0 in August, contracting for the 52nd consecutive month

⑴ The S&P Global Construction PMI for the Eurozone dropped from 44.3 in July to 43.0 in August, indicating a worsening contraction in construction activity, with total activity declining for 52 consecutive months.⑵ France and Italy saw sharper contractions, while Germany recorded the mildest decline since 2026. Housing construction experienced the most severe contraction, followed by commercial buildings, and civil engineering also registered a drop.⑶ New orders declined at the fastest pace since April, prompting businesses to further cut jobs and reduce purchasing activity. Employment fell for the seventh consecutive month, with the rate of layoffs accelerating to a four-month high, although the number of employees in Italy rose for the second consecutive month.⑷ Cost pressures further eased, with input cost inflation falling to a six-month low, and subcontractor fee inflation was the weakest since February.⑸ Business confidence remains pessimistic, hitting a three-month low, with French companies being the most downbeat.