BERLIN (Reuters) – German private sector business activity slowed significantly in June with growth decelerating in the services sector, final results of the S&P Global/HCOB survey of purchasing managers showed on Wednesday. .
The HCOB PMI for services fell last month to 54.1, as first estimated, after a 13-month high of 57.2 in May.
The bar of 50 delimits expansion and contraction of activity.
The slowdown in growth is not a surprise, as France, Italy and Spain had already started to see a loss of momentum a month earlier, said Cyrus de la Rubia, chief economist at Hamburg. Commercial Bank.
“It was also inevitable that the decline in demand in the manufacturing sector, which began in the middle of last year, would reflect on the services sector at some point,” he said.
The HCOB PMI composite, which combines services and manufacturing, fell to 50.6, a five-month low, from 53.9 in May. The “flash” estimate released last month had it at 50.8.
“Germany will likely escape a continuation of the recession that set in during the fourth quarter of last year. However, the risk of the economy sliding back into recession in the second half of the year has increased,” de Cyrus warned. of the Rubia.
(Report Maria Martinez; Claude Chendjou, edited by Kate Entringer)
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