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16 Dec 2014
German manufacturing PMI rebounds, composite activity at 18-month low
FXStreet (Mumbai) - The preliminary HSBC German Manufacturing Purchasing Manager’s Index (PMI) for December came-in at a two-month high of 51.2, against the expectation of 50.3, and up from the previous month’s print of 49.5.
The German Services activity index fell to 17-month low of 51.4, down from November’s 52.1. Consequently the preliminary composite PMI index cooled down to an 18-month low of 51.4 in December.
As per Oliver Kolodseike, Economist at Markit and the author of the Flash Germany PMI, “Today’s flash PMI results showed that private sector output growth in Germany slowed further in December. The amount of new work placed with German companies declined again, suggesting that output growth may slow further at the start of next year, with the possibility of a downturn intensifying."
“Overall, the data are consistent with only marginal GDP growth in the fourth quarter at best, with the average PMI reading in the latest three months the weakest since the second quarter of 2013. The possibility of a renewed downturn at the start of next year is clearly becoming more and more likely, especially if the survey data continue to disappoint.”
The German Services activity index fell to 17-month low of 51.4, down from November’s 52.1. Consequently the preliminary composite PMI index cooled down to an 18-month low of 51.4 in December.
As per Oliver Kolodseike, Economist at Markit and the author of the Flash Germany PMI, “Today’s flash PMI results showed that private sector output growth in Germany slowed further in December. The amount of new work placed with German companies declined again, suggesting that output growth may slow further at the start of next year, with the possibility of a downturn intensifying."
“Overall, the data are consistent with only marginal GDP growth in the fourth quarter at best, with the average PMI reading in the latest three months the weakest since the second quarter of 2013. The possibility of a renewed downturn at the start of next year is clearly becoming more and more likely, especially if the survey data continue to disappoint.”