Brazil Services PMI Falls to Near-Stagnation

2026-06-03 13:14 By Isabela Couto 1 min. read

Brazil’s S&P Global Services PMI fell to 50.4 in May 2026 from 52.3 in April, moving closer to the 50-point threshold and signaling only marginal expansion in the sector.

The survey showed that new business was broadly stagnant during the month, with transport, information and communication the only monitored segment to record higher output.

The slowdown in demand coincided with elevated price pressures, as output charge inflation remained the second-highest in 15 months despite easing from April.

Input costs rose at the fastest pace since February 2025, with consumer services facing the strongest cost pressures.

Rising operating expenses and fragile demand also weighed on hiring activity, with employment growth slowing to the weakest pace in the current four-month expansion.

Meanwhile, high inflation, intense competition, and challenging business conditions dampened confidence among service providers.



News Stream
Brazil Services PMI Falls to Near-Stagnation
Brazil’s S&P Global Services PMI fell to 50.4 in May 2026 from 52.3 in April, moving closer to the 50-point threshold and signaling only marginal expansion in the sector. The survey showed that new business was broadly stagnant during the month, with transport, information and communication the only monitored segment to record higher output. The slowdown in demand coincided with elevated price pressures, as output charge inflation remained the second-highest in 15 months despite easing from April. Input costs rose at the fastest pace since February 2025, with consumer services facing the strongest cost pressures. Rising operating expenses and fragile demand also weighed on hiring activity, with employment growth slowing to the weakest pace in the current four-month expansion. Meanwhile, high inflation, intense competition, and challenging business conditions dampened confidence among service providers.
2026-06-03
Brazil Services PMI Rises in April
Brazil’s S&P Global Services PMI rose to 52.3 in April 2026 from 50.1 in March, signaling a faster, though still moderate, expansion. New orders rebounded at the start of Q2 after a decline in March, with three of the four major segments reporting higher sales, led by consumer services, while real estate and business services lagged. Firms reported stronger demand despite further increases in selling prices, with output charge inflation accelerating to its highest level in over a year. Employment continued to rise for a third straight month, although job creation remained modest. Business confidence improved, with sentiment reaching an 11-month high as firms expect activity to increase over the next 12 months.
2026-05-06
Brazil's Services PMI Slips as Demand Weakens
Brazil's S&P Global Services PMI fell to 50.1 in March from 53.1 in February, indicating broadly no change in output. Companies cited demand retrenchment, lower customer onboarding, squeezed household incomes, and challenging economic conditions. New orders decreased for the first time in five months, albeit marginally. Output price inflation was sharp and the strongest since October, while input costs rose at the fastest pace in four months. Employment increased for the second consecutive month at a moderate pace, with job creation strengthening from February. Services companies remained confident of output growth over the coming 12 months, though positive sentiment fell from February and was below the series trend.
2026-04-06