DJIA26281.82
LIVE11.93(0.05%)
NDX9629.66
LIVE-75.03(-0.77%)

Looser Lockdown Helps Germany's Private Sector Gain some Ground: PMI


Thursday, 21 May 2020 15:16 WIB

German Flash Manufacturing PMIGerman Flash Service PMI


c_740_198_16777215_00_images_assets_Lain2_German.jpg

Germany's private sector recession eased in May as a loosening of lockdown measures in the coronavirus crisis helped services and manufacturers in Europe's largest economy gain some ground, a survey showed on Thursday.

IHS Markit's flash composite Purchasing Managers' Index (PMI), which tracks the manufacturing and services sectors that together account for more than two-thirds of the economy, rose to 31.4 after hitting a record low of 17.4 the previous month.

This undershot a Reuters poll of analysts who had predicted a bigger increase to 34.1. It marked the third month in a row that the index was below the 50 threshold which separates growth from contraction.

"The rate of decline in activity has eased considerably since the peak of virus containment measures in April, but we are still a long way off business as usual and the path to recovery remains unclear,” IHS Markit economist Phil Smith said.

The services sector, which was hit hardest by the gradually imposed lockdown measures since mid-March, recovered a bit. The flash PMI for business activity in services jumped to 31.4 in May after hitting a record low of 15.9 the previous month.

The flash PMI for manufacturing rose to 36.8 from 34.5 in April.

Smith said companies expected demand to remain weak for quite a while so they continued to cut jobs "at a worrying rate” in order to better align capacity with current conditions.

"The scale of job losses is a key risk to the longer-term outlook,” he added.

Source : Reuters


RELATED NEWS

  • U.S. services industry activity pushed off an 11-year low in May, but businesses appeared in no rush to rehire workers as they reopen, supporting views the economy could take years to recover from the...

POPULAR NEWS

DISCLAIMER

Seluruh materi atau konten yang tersaji di dalam website ini hanya bersifat informatif saja, dan tidak dimaksudkan sebagai pegangan serta keputusan dalam investasi atau jenis transaksi lainnya. Kami tidak bertanggung jawab atas segala akibat yang timbul dari penyajian konten tersebut. Semua pihak yang mengunjungi website ini harus membaca Terms of Service (Syarat dan Ketentuan Layanan) terlebih dahulu dan dihimbau untuk melakukan analisis secara independen serta memperoleh saran dari para ahli dibidangnya.