Economic activity in Germany slows down in October

Data released by Markt today showed that the composite PMI that combines the industrial and service sectors in Germany fell to 54.5 points during the month of October, compared to 54.7 points recorded in September.

Analysts had expected the composite PMI in the largest economy in the euro area to decline to 53.2 points in October, and data showed that the services PMI fell to 48.9 points in October.

The manufacturing PMI rose to 58.0 in October, its highest level since April 2018, and the German government expects GDP to contract in 2020 by 5.8% before rebounding 4.4% next year.