Investing.com – Germany's services sector purchasing managers index fell unexpectedly in September, contracting for the first time since July 2009, data showed on Wednesday.
In a report, Markit said Germany's services PMI fell to 49.7 in September, down from a preliminary reading of 50.3.
Analysts had expected the index to remain unchanged at 50.3.
On the index, a level above 50.0 indicates expansion in the industry, below 50.0 indicates contraction.
Commenting on the report, Tim Moore, Markit economist said, ““September data confirms a broad-based slowdown in German private sector activity during the third quarter of 2011.”
“This now leaves the PMI data consistent with a virtual stagnation of German GDP,” he added.
Following the release of the data, the euro was down against the U.S. dollar, with EUR/USD shedding 0.27% to trade at 1.3313.
Meanwhile, European stock markets were up sharply after the open. The EURO STOXX 50 jumped 1.6%, France’s CAC 40 rose 1.8%, the FTSE 100 climbed 1.5%, while Germany's DAX gained 1.3%.
In a report, Markit said Germany's services PMI fell to 49.7 in September, down from a preliminary reading of 50.3.
Analysts had expected the index to remain unchanged at 50.3.
On the index, a level above 50.0 indicates expansion in the industry, below 50.0 indicates contraction.
Commenting on the report, Tim Moore, Markit economist said, ““September data confirms a broad-based slowdown in German private sector activity during the third quarter of 2011.”
“This now leaves the PMI data consistent with a virtual stagnation of German GDP,” he added.
Following the release of the data, the euro was down against the U.S. dollar, with EUR/USD shedding 0.27% to trade at 1.3313.
Meanwhile, European stock markets were up sharply after the open. The EURO STOXX 50 jumped 1.6%, France’s CAC 40 rose 1.8%, the FTSE 100 climbed 1.5%, while Germany's DAX gained 1.3%.