2023.04.0510:52:00UTC+00Sweden's Services Activity Contracts Further

Sweden's service sector activity deteriorated for the second successive month in March, though the pace of decline eased, the purchasing managers' survey results from Swedbank and the logistics association Silf showed on Wednesday.

?The purchasing managers' index, or PMI, for the services sector rose to 48.6 in March from 45.6 in February. However, a reading below 50 suggests contraction in the sector.

"The weak global economy, reduced housing construction and eroded purchasing power among households are still major risk factors," Swedbank analyst Jorgen Kennemar said.

The order intake sub-index accounted for the largest positive contribution to the overall rise in PMI services, followed by employment and business volume, while the delivery time index fell to the lowest level in more than three years.

On the price front, cost pressures remained elevated in March, with the supplier input price index rising to 68.8 in March from 66.3 in February.

Data also showed that the composite PMI came in at 47.8 in March versus 45.9 in February.