Euro zone private sector growth slowed in October to its weakest pace in four months, as energy-driven cost increases and a renewed contraction in France weighed on activity. The S&P Global flash Composite PMI Output Index fell to 51.9 from 53.1 in September, its lowest since June and below all forecasts in a Reuters poll that had predicted 52.7. Input costs rose sharply again, linked to higher energy, fuel and transport costs partly due to the Middle East war, and firms raised selling prices at a slower pace than in September. Higher interest rates are also beginning to dampen demand, and a Reuters poll expects the ECB to hold its deposit rate at 2.50% next week before raising it by 25 basis points in December. Business confidence fell to a five-month low, with France standing out for pessimism, as its PMI pointed to contraction and confidence hit its lowest since 2012 outside the pandemic period.
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Related tickers and likely impact
EUR/USD
▼ Likely negativeRelevance: medium
| Market | Currencies |
|---|---|
| Close on 10/23/2026 | 1.12044 |
| Change that session | -0.11% |
DXY
▲ Likely positiveRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/23/2026 | 101.74 |
| Change that session | +0.11% |
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