Germany's composite PMI up to 48.4; manufacturing still declines

The HCOB Germany Composite PMI increased to 48.4 in October from September's seven-month low of 47.5, slightly surpassing expectations of 47.6.

Germany's composite PMI up to 48.4; manufacturing still declines

However, it remained below the neutral 50.0 level, indicating ongoing contraction since July. Manufacturing production experienced a significant decline (PMI at 42.4), although the rate of decrease eased slightly compared to the previous month. In contrast, the service sector displayed resilience, with business activity expanding for the eighth month (index at 51.4).

Germany's private sector weakens; employment drops at fastest pace in 4.5 years

Germany's private sector continued to weaken, facing reduced output and employment due to low demand, with employment dropping at the fastest pace in nearly four-and-a-half years. As service inflation slowed, average prices charged by businesses remained unchanged while manufacturing prices saw their most significant cuts since September 2009. Lastly, while business optimism improved, it remained low overall.