Germany February flash manufacturing PMI 58.5 vs 59.4 expected

• Prior 59.8
• Services PMI 56.6 vs 53.0 expected
• Prior 52.2
• Composite PMI 56.2 vs 54.3 expected
• Prior 53.8

Even though the manufacturing print is lower than that of January, the overall readings in this report are solid. The German economy is seen growing at its fastest pace in six months, as demand conditions improve with the omicron impact lessening. That said, inflationary pressures remain a persistent problem as price pressures remain elevated at a near-record rate. Markit notes that:

“The German economy continued to regain momentum in February following December’s brief stagnation in output growth. Overall activity rose the most since last August, driven this time by the services sector as manufacturing production increased more slowly than in January, when it had provided the main impetus.

“Although goods production rose at a softer pace, data on new orders showed the fastest rise in six months. Moreover, supply chain pressures appeared to ease further as average lead times lengthened to the least extent since November 2020.

“Inflationary pressures remained strong, however. Overall input prices rose at a similar rate as at the turn of the year, despite the slowest rate of inflation Inflation Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Inflation is defined as a quantitative measure of the rate in which the average price level of goods and services in an economy or country increases over a period of time. It is the rise in the general level of prices where a given currency effectively buys less than it did in prior periods.In terms of assessing the strength or currencies, and by extension foreign exchange, inflation or measures of it are extremely influential. Inflation stems from the overall creation of money. This money is m Read this Term in manufacturing for a year. Meanwhile, prices charged for goods and services increased at the second-fastest rate on record.”