(ANSA) – MILAN, SEPTEMBER 23 – The contraction phase of the German economy worsened in September, weighed down above all by the difficulties of the manufacturing sector, struggling with the crisis in the auto sector. The composite PMI HCOB index fell to a seven-month low, at 47.2, from 48.4 in August, the service activity index fell from 51.2 to 50.6, the lowest in six months, while the manufacturing index even touched a one-year low, falling from 42.4 in August to 40.3. According to HCOB, which processes PMI indices on behalf of S&P Global, Germany is “in a technical recession”. “Our estimate of GDP for the current quarter, which takes into account the HCOB PMI among other indicators, sees a decrease of 0.2% compared to the previous quarter”, after “in the second quarter GDP shrank at a rate of 0.1%”, commented Cyrus de la Rubia, chief economist at HCOB. “There is still some hope that the fourth quarter will be better as higher wages combined with lower inflation should stimulate not only real income but also consumption, supporting domestic demand”, concludes de la Rubia. (ANSA).
2024-09-23 13:16:13