German Private Sector Improves Amid ‘Fragile’ Economic Rebound

Workers on the highway bridge construction site near Luedenscheid, Germany.

Photographer: Alex Kraus/Bloomberg

German private-sector activity picked up more than expected in January, bolstering expectations that the economy can finally mount a turnaround this year.

S&P Global’s Composite Purchasing Managers’ Index rose to 52.5 from 51.3 the previous month — further above the 50 threshold separating expansion from contraction. Analysts had expected an increase to 51.7.