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- Latest survey results signalled a solid increase in German service sector activity
Latest survey results signalled a solid increase in German service sector activity
Latest survey results signalled a solid increase in German service sector activity, with the final seasonally adjusted Markit Germany Services PMI Business Activity rising from September's 39- month low of 50.9 to 54.2. The latest PMI reading was the highest since July. Growth was generally widespread by sector, although Post & Telecommunication companies reported a sustained decline in overall output during the latest survey period. In contrast, where increased activity was recorded, panel members commented on improved demand.
Commenting on the final Markit Germany PMI survey data, Oliver Kolodseike, Economist at IHS Markit said: "Today's survey results present a welcome rebound in German service sector activity, after September's data highlighted fears of a substantial slowdown in the sector. Solid improvements in new business inflows and employment levels contributed to the upturn and underline that domestic economic fundamentals in Germany are healthy at the start of the final quarter. It is also encouraging that business confidence picked up to a six-month high with a number of firms commenting that higher investments and a positive economic climate are likely to support the sector's performance going forward. "The service sector data follow positive numbers from the manufacturing sector, released earlier in the week. The combined output of both sectors points to the second-strongest rate of expansion so far this year and suggests that the German economy continued to grow at the start of the fourth quarter."
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