23 May 2017

2017- n° 135

In May 2017, the business climate in services is virtually stable above its long-term average Monthly survey of services - May 2017

According to business managers surveyed in May 2017, the business climate in services remains favourable. The business climate composite indicator is virtually stable at 103, above its long-term average (100). Because of late businesses' answers that have been taken into account, the indicator of April 2017 has been revised upward by one point.

The turning point indicator has returned in the area indicating a short-term economic uncertainty.

The balance on general outlook, which relates the assessment of business leaders over their whole sector, has improved slightly again, exceeding even more its long-term average. That on expected activity is stable, slightly below its long-term average. However, the balances on past activity and expected demand have decreased, falling back to their long-term average or almost.

The balances on employment remain clearly above their long-term average, despite a slight decrease in that on expected employment.

Fewer business managers consider that the prices have gone down or will go down; the corresponding balances stand close to their long-term average.

The balance on past investments has increased a little further. That on expected investments has recovered, after a sharp decrease in April. Both balances stand above their long-term average.

In most subsectors, the business climate is stable or almost, except in road transport where it has improved and in accommodation and food service activities where it has declined significantly.

In road transport, the business climate has increased by 3 points. At 108, it has returned to its level of March, solidly above its long-term average. Almost all balances have gone up and stand clearly above their long-term average. Only the balance on past activity have decreased, returning to its long-term average.

In accommodation and food services, the business climate has lost 5 points, after a strong recovery in April. At 102, it has come closer to its long-term average. The balances on expected demand, general outlook and past activity have decreased markedly. The latter has fallen back below its long-term average.

In information and communication, the business climate is stable, slightly below its long-term average (99). The balances on expected activity and demand have decreased and deviated further from their long-term average. However, the balances on employment remain slightly above their long-term average.

In real estate activities, the business climate is stable, above its long-term average (103). Most balances are stable or almost and stand above their long-term average. The balances on expected demand and employment have gone down slightly.

The business climate in professional, scientific and technical activities is virtually stable. At 105, it stands clearly above its long-term average. The balances on activity, demand and general outlook are virtually stable, above their long-term average. Those on employment have improved.

In administrative and support service activities, the business climate is stable. At 108, it stands firmly above its long-term average. The balances on past activity and expected employment have declined. However, all balances stand much higher than their long-term average, particularly those on employment.