---
source: S&P Global / HCOB / IndexBox
url: https://www.indexbox.io/blog/eurozone-services-pmi-rises-to-518-in-february-2026-a-two-month-high/
document_type: html
date_retrieved: 2026-03-15
date_published: 2026-02-20
period: February 2026
parent_publication: HCOB Eurozone Services Purchasing Managers' Index
indicators_covered: [Services PMI, Business Activity, Employment, Price Inflation, Business Confidence]
---

# HCOB Eurozone Services PMI Final — February 2026

## Executive Summary

The HCOB Eurozone Services Purchasing Managers' Index increased to **51.8 in February 2026** from 51.6 in January, marking a two-month high. The reading was slightly below market expectations for a figure of 51.9.

## Key Metrics

| Indicator | February 2026 | January 2026 | Change |
|-----------|--------------|-------------|--------|
| **Services PMI** | **51.8** | 51.6 | +0.2 |
| **Previous Month** | 51.6 | — | — |
| **Market Expectation** | 51.9 | — | — |

**Index Context:** A reading above 50 indicates expansion in business activity; below 50 indicates contraction.

## Business Activity & Growth

Growth in the services sector was underpinned by ongoing gains in business activity. The sector maintained expansion during February, supporting the overall positive momentum. However, the rate of new business growth decelerated, indicating a softening of demand momentum. This suggests that while services firms continue to expand, the pace of incoming orders is moderating.

## Employment Trends

Employment levels stagnated during the month, ending a period of continuous job creation that had lasted for five years. Companies paused hiring as they assessed economic conditions and demand trajectories. This represents a significant inflection point after sustained employment gains throughout 2021–2025.

## Price Pressures & Inflation

Cost pressures showed a slight easing. Input price inflation rose at a slower pace than in the previous month, providing some relief to service providers managing cost bases. The rate of increase for output charges (prices charged to customers) in the services sector also moderated, suggesting:

- Less aggressive pricing power among service firms
- Possible margin compression despite easing input costs
- Moderated consumer price pressures from the services sector

## Business Confidence

Despite the slower growth in new orders and more moderate price trends, service firms maintained confidence that business activity would rise over the coming year. However, the degree of optimism was marginally lower than in January, suggesting cautious sentiment about near-term momentum.

## Composition & Coverage

The HCOB Eurozone Services PMI is compiled by S&P Global from responses to questionnaires sent to a panel of service providers in the Eurozone core economies:

- Germany
- France  
- Italy
- Spain
- Ireland

The sectors covered include consumer services (excluding retail), transport, information, communication, finance, insurance, real estate, and business services. The headline figure is the Services Business Activity Index, a diffusion index calculated from changes in the volume of business activity compared with the previous month.

## Context: Two-Month High

The February reading of 51.8 represents the highest level in two months, showing recovery from prior weakness. The improvement from January's 51.6 reflects stabilization in activity levels and renewed business expansion in key service sectors across the Eurozone.