German private sector expands in May – survey

German private sector activity grew for the second month in a row in May, led by strong services, according to a preliminary survey, cited by Reuters on Thursday.

The HCOB German Flash Composite Purchasing Managers’ Index (PMI) by S&P Global rose to 52.2 from 50.6 in April, surpassing a Reuters forecast of 51.0.

The services PMI hit 53.9, its highest in 11 months, up from 53.2 and above the expected 53.5. Manufacturing, still contracting, improved to 45.4 from 42.5, beating the forecast of 43.1.

“These numbers offer hope,” said Cyrus de la Rubia, chief economist at Hamburg Commercial Bank, noting the solid growth indicated by the composite PMI.