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- German Preliminary Manufacturing PMI rises to 57.9 in December vs. 56.8 expected
German Preliminary Manufacturing PMI rises to 57.9 in December vs. 56.8 expected
- German Manufacturing PMI arrives at 57.9 in December vs. 56.8 expected.
- Services PMI in Germany contracts to 48.4 in December vs. 51.0 expected.
- EUR/USD keeps 1.1300 on mixed German PMIs, largely unfazed.
The German manufacturing sector quickens its pace of expansion in December, the preliminary manufacturing activity report from IHS/Markit research showed this Thursday.
The Manufacturing PMI in Eurozone’s economic powerhouse came in at 57.9 this month vs. 56.8 expected and 57.4 prior. The index rebounds to fresh three-month highs.
Meanwhile, Services PMI slumped ten-month lows of 48.4 in December as against 51.0 estimated and 52.7 previous.
The IHS Markit Flash Germany Composite Output Index arrived at 50.0 in December vs. 51.1 expected and November’s 52.2. The gauge hits an 18-month low.
Key comments from Phil Smith, Economics Associate Director at IHS Markit
“The German economic recovery was stopped in its tracks in December by the resurgence of the pandemic, as renewed restrictions and increased uncertainty dampened activity across the country’s service sector.”
“However, despite the somewhat gloomy headline number, there were a number of more positive takeaways from December’s flash survey, including an uptick in manufacturing growth and resilient business confidence.”
FX implications
EUR/USD is holding the higher ground just above 1.1300, adding 0.18% on the day. The spot extends its post-Fed gains ahead of the ECB decision.
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