- Prior 50.1
- Services PMI 46.8 vs 49.0 expected
- Prior 48.1
- Composite PMI 48.0 vs 49.6 expected
- Prior 48.5
Key findings:
- German PMI slips deeper into contraction territory in June, whilst inflationary pressures soften
Comment:
Phil Smith, Economics Associate Director at S&P Global Market Intelligence:
“The good news is that inflationary pressures have started to ease off, with input costs rising at their slowest rate since just before the outbreak of the war in the Middle East, although still steeply by historical standards. The bad news is that business activity has fallen for a third month running and at the quickest rate in this sequence, thereby further increasing the likelihood of the economy having slipped back into contraction in the second quarter.
“The service sector continues to act as a notable drag on the economy, seeing rates of decline in both business activity and new work gather pace in June. We are yet to see any noticeable fallout from the Middle East war on the German labour market, with the rate of job losses have been largely steady throughout 2026 so far, but a sustained decrease in employment nevertheless represents a further headwind to demand for the more domestic-oriented service sector.”
This article was written by Giuseppe Dellamotta at investinglive.com.
