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German Manufacturing Enters Its Deepest Slump in Four Years

  • PMI decline will raise concerns about health of economy
  • Global outlook a central talking point at Davos gathering
Updated on

Germany’s industrial woes carried into the new year as factory output contracted for the first time in four years.

The poor reading for the IHS Markit Purchasing Managers’ Index in January will reinforce fears about the health of both the European and the global economy. That’s been a key talking point at the World Economic Forum in Davos this week, where the IMF cut its outlook and said an escalation of trade tensions could add further damage.