Slight rise in construction activity in Germany in JulyStaff Writer | August 5, 2016
July data showed a further expansion in German construction work, driven by sustained growth in residential building activity.
Building Markit Germany Construction PMI
Meanwhile, companies were encouraged to further add to their payrolls and raise their input buying activity.
Total construction output in Germany rose for the eighteenth consecutive month in July.
The pace of growth was modest, but quicker than one month earlier, as indicated by the headline seasonally adjusted Purchasing Managers’ Index (PMI) – which is based on a single question asking respondents to report on the actual change in their total construction activity compared to one month ago – posting at 51.6, up from June’s ten-month low of 50.4.
Growth was supported by higher levels of housing activity during the month. Although the rate of expansion in residential building output accelerated since the previous month, it was moderate overall and well below the rates seen at the beginning of the year.
Commercial building and civil engineering activity on the other hand fell further during the month, thereby stretching the current periods of decline to two and three months, respectively. Rates of contraction slowed in both cases since June and were only marginal, however. ■