German Economy Keeps Growing Despite Deepening Factory Downturn
- Composite PMI edges up to 54.3 in May; economists’ est. 53.4
- Services activity improves while manufacturing output shrinks
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Germany’s economic activity accelerated in May thanks to better performance in the services sector that outweighed ongoing weakness among the country’s factories.
The economy grew for a fourth straight month in May as the rate of expansion rose to the highest in more than a year, according to business surveys by S&P Global. The expansion was solely driven by a resurgent services sector, however, as manufacturing activity worsened amid a further decline in demand for goods.