Political uncertainty dragging down demand, France's service sector shrank for the 14th consecutive month in October.

Data shows that the dominant French service sector contracted at the fastest pace since April, although the magnitude was slightly lower than the initial estimate. Surveys indicate that political uncertainty is dragging down demand in the eurozone's second largest economy. Meanwhile, the final value of France's composite PMI was slightly higher than the initial estimate, but it decreased from 48.1 in September, marking the most significant decline in eight months. Economist Jonas Feldhusen from Hamburg Commercial Bank said, "The French private sector economy continued to decline unhindered in the early fourth quarter." He pointed out that weak demand and political uncertainty are the main reasons for the downward trend. Despite overall weakness, the service sector employment still shows some resilience, with jobs increasing for the third consecutive month. However, if demand remains weak and unfinished orders continue to decline, this hiring trend may be difficult to sustain. Overall, business confidence remains low, with many companies stating that the instability in domestic politics is affecting their expectations for future activities.