PARIS, Dec 4 Reuters Political uncertainty in France hit the country39;s services sector, a monthly survey showed on Wednesday, as risks that Prime Minister Michel Barnier39;s government could collapse weighed on the euro zone39;s secondbiggest economy.
The HCOB France services final PMI fell to 46.9 in November from 49.2 in October. Any figure below 50 shows a contraction in activity, however the final reading was above November39;s flash services PMI of 45.7 points.
The final composite PMI, which includes both the services and manufacturing sectors, fell to 45.9 points in November from 48.1 in October.
France39;s services sector has lost ground for three months in a row, with a pickup in business that occurred during the summer Paris Olympics having been eroded as political worries mount.
The positive signals from the HCOB PMI for the French service sector that were seen over the summer, partly due to the Olympics, are now a thing of the past, said Hamburg Commercial Bank economist Tariq Kamal Chaudhry.
French business confidence fell in November to its lowest in over four years, the survey showed.
This shows how fragile business sentiment is against the backdrop of further political uncertainty should Michel Barnier39;s minority government end in collapse over the budget deadlock, he added.
Reporting by Sudip KarGupta Editing by Christina Fincher
Source Reuters