By Andreas Plecko
FRANKFURT (Dow Jones)–The upswing in the German service sector continued in April. The S&P Global purchasing managers’ index for the sector rose to 56.0 from 53.7, according to the final data for the month. Economists had forecast a reading of 55.7. A value of 55.7 had been determined provisionally for April.
Overall, growth in Germany’s economy also accelerated in April. The composite index for production in the private sector – industry and service providers together – rose to 54.2 from 52.6 points in the previous month. Above 50 points, the economic barometer signals growth, below it a contraction.
Hamburg Commercial Bank Chief Economist Cyrus de la Rubia pointed to the fact that the service sector is signaling accelerating growth while manufacturing continues to lose momentum. “There was such a clear discrepancy measured against the indicators at the beginning of 2021, when a large part of the services could simply no longer be offered due to lockdowns. In this respect, part of the positive development here is likely to continue to be due to corona catch-up effects, for example in the tourism and hospitality sectors.”
Link: https://www.pmi.spglobal.com/Public/Release/PressReleases
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(END) Dow Jones Newswires
May 04, 2023 04:09 ET (08:09 GMT)