Even on the price front there were some encouraging signs as firms reported the slowest increase in costs for a year-and-a-half and a weaker rise in prices charged for goods and services. Despite falling workplace activity, labour market conditions remained relatively robust, S&P Global said in a release.
The headline S&P Global flash Germany PMI composite output index remained below the neutral 50.0 threshold that separates growth from contraction for a fifth straight month in November, registering 46.4. However, this was up from October’s 45.1 and the highest reading since August.
At the sector level, sustained downturns in both manufacturing and services were observed. The rate of decline in goods production was notably weaker than in October, however, amid reports of improved material availability.
Goods producers reported an outright improvement in lead times on inputs for the first time since July 2020.
A combination of high inflation and uncertainty continued to weigh on demand for goods and services during November, reports from surveyed firms showed.
Inflows of new business fell at a sharp rate that was only slightly slower than October’s near two-and-a-half year record.
In the manufacturing sector, the rate of input price inflation fell sharply to a 23-month low.
The survey highlighted widespread concerns about the effects of high inflation, rising interest rates and heightened levels of uncertainty on investment and economic conditions generally.
Expectations, however, improved further from September’s near two-and-a-half year low, with both manufacturers and service providers less pessimistic about the outlook.
ALCHEMPro News Desk (DS)
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