Spain Business Confidence Weakens to 4-Month Low

The seasonally adjusted industrial confidence indicator in Spain improved further to -0.7 in October 2026 from -1.5 in September, marking the best reading since June 2022. It also remains above its long-term average, as it has since December 2023, and stands 4.2 points higher than a year ago. Production expectations (+3.6 points to 8.4) rose sharply for the second consecutive month, reaching their highest level since September 2024. The order book indicator improved again (+1.4 points to -3.7), continuing the general upward trend observed since September 2025, and reached its highest level since July 2022. The inventory level indicator, which fell significantly last month, increased again this month by 2.6 points to 6.7. Meanwhile, price pressures intensified, with the gauge climbing 14 points to 26.

The seasonally adjusted industrial confidence indicator in Spain came in at -1.6 in September 2026, up from -3.8 in the prior month. Although the indicator remained slightly below the neutral level, it reached its highest level since April 2023. It also remained above its long-term average. The 2.2-point monthly rise reflected a 1.9-point increase in production expectations, a 0.5-point rise in the order-book balance and a 4.2-point decline in stock levels. Production expectations, the only forward-looking component of the three underlying measures, recovered the decline recorded in August and moved back above their long-term average, while the order-book balance continued its broad upward trend, reaching its highest level since March 2023 and standing four points above its average since 2024. Stock levels fell significantly after rising for the previous three months.

The seasonally adjusted industrial confidence indicator in Spain fell further to -3.9 in August 2026, the lowest since April, from -2.6 in the preceding month. The 1.3-point monthly decline reflected a 2.8-point increase in stock levels and a 1.4-point decrease in production expectations, partly offset by a 0.3-point rise in the order-book indicator. Inventories rose for the third consecutive month, while the gauge for order books reached its highest level since April 2023, standing 3.5 points above its average since 2024. Production expectations, the only forward-looking component of the three underlying measures, declined for a second consecutive month, falling below their long-term average. Even so, the ICI remains above its long-term average, as it has consistently done since December 2023, and is 2.2 points higher than in August 2025.