German Factory Activity Stalls in May as PMI Hits 50.1
German factory activity stalled in May as the PMI fell to 50.1. Waning demand and rising costs weighed on output while manufacturing job losses accelerated.
Germany manufacturing activity stalled in May as the S&P Global PMI fell to 50.1 from 51.4 in April. The reading remains barely above the 50.0 threshold separating expansion from contraction. Waning demand and soaring costs linked to the war in the Middle East threaten industrial margins and employment stability across the eurozone's largest economy.
New orders fell for the first time in five months during May. Export sales also declined for the first time since January as geopolitical uncertainty weighed on global trade. Customers had previously frontloaded orders to avoid disruption and price rises, but that momentum faded in late spring.
