Investing.com - Manufacturing activity in Germany in September contracted at the slowest rate in six months, while service sector activity grew modestly, preliminary data showed on Thursday.
In a report, market research group Markit said that its preliminary German manufacturing purchasing managers’ index rose to a seasonally adjusted 47.3 in September from a final reading of 44.7 in August.
Analysts had expected the index to ease up to 45.3 in September.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
September data suggested that the near-stagnation in business activity levels was achieved in part by the completion of work-in-hand.
Meanwhile, the report showed that service sector activity in Germany expanded at the highest rate in four months in September.
The preliminary services purchasing managers’ index rose to a seasonally adjusted 50.6 in September from a reading of 48.3 in August. Analysts had expected the index to ease up to 48.5.
Commenting on the report, Tim Moore, Senior Economist at Markit said, “Germany managed to shake off the summertime blues in September, with renewed services growth helping to stabilize private sector output as a whole.”
Following the release of the data, the euro trimmed losses against the U.S. dollar, with EUR/USD down 0.62% to trade at 1.2969.
Meanwhile, European stock markets remained broadly lower after the open. The EURO STOXX 50 fell 0.7%, France’s CAC 40 declined 0.8%, London’s FTSE 100 slumped 0.75%, while Germany's DAX retreated 0.5%.
In a report, market research group Markit said that its preliminary German manufacturing purchasing managers’ index rose to a seasonally adjusted 47.3 in September from a final reading of 44.7 in August.
Analysts had expected the index to ease up to 45.3 in September.
A reading above 50.0 on the index indicates industry expansion, below indicates contraction.
September data suggested that the near-stagnation in business activity levels was achieved in part by the completion of work-in-hand.
Meanwhile, the report showed that service sector activity in Germany expanded at the highest rate in four months in September.
The preliminary services purchasing managers’ index rose to a seasonally adjusted 50.6 in September from a reading of 48.3 in August. Analysts had expected the index to ease up to 48.5.
Commenting on the report, Tim Moore, Senior Economist at Markit said, “Germany managed to shake off the summertime blues in September, with renewed services growth helping to stabilize private sector output as a whole.”
Following the release of the data, the euro trimmed losses against the U.S. dollar, with EUR/USD down 0.62% to trade at 1.2969.
Meanwhile, European stock markets remained broadly lower after the open. The EURO STOXX 50 fell 0.7%, France’s CAC 40 declined 0.8%, London’s FTSE 100 slumped 0.75%, while Germany's DAX retreated 0.5%.