Germany Composite PMI Revised Lower

The HCOB Germany Composite PMI was revised lower to 50.5 in August 2025 from a preliminary of 50.9, and compared to 50.6 in July. The reading signalled a marginal rate of business activity growth for a third straight month, with manufacturing getting close to stagnation (49.8 vs 49.1), while the services sector fell back into contraction (49.3 vs 50.6). Also, a stronger increase in manufacturing production contrasted with a renewed decline in the service sector. New orders were also down slightly thanks to the drag from services. Employment meanwhile fell at the quickest rate for six months, but in this case the decline was centred on manufacturing. The goods-producing sector also led a slight drop in business expectations. On the price front, overall inputs costs rose at the quickest rate since March. The rate of output charge inflation likewise ticked up, but it continued to run below its long-run average due to discounting in the manufacturing sector.