Germany PMI Services was finalized at 61.8, up from June’s 57.5, surpassing previous record high set some 15 years ago. PMI Composite rose to record high of 62.4, up from 60.1. Markit said there was record expansion in activity as COVID-19 restrictions eased. Rate of job creation hit new record. Inflationary pressures remained elevated.
Andrew Harker, Economics Director at IHS Markit said: “The recent surge in activity in the German service sector continued in July, with growth hitting the highest in more than 24 years of data collection as companies feel the benefit of the reopening of the economy following the lifting of COVID-19 restrictions. The ramping up of activity is also proving to be good news for workers, with companies taking on extra staff at an unprecedented rate.
“Inflationary pressures remain elevated, however, and companies will take little solace from the fact that costs rose at a slightly weaker pace than in June. With the sector running hot and severe pressure on capacity signalled, rising costs look set to remain a feature in the near-term at least.”