|

German Preliminary Manufacturing PMI unexpectedly drops to 42.5 in December vs. 43.8 expected

  • Germany’s Manufacturing PMI fell to 42.5 in December vs. 43.8 forecast.
  • Services PMI for the German economy bounces to 51.0 in December vs. 49.2 estimate.
  • EUR/USD picks up fresh bids above 1.0500 after mixed German PMIs.

The German manufacturing sector activity worsened in December while the services sector returned to expansion, the preliminary business activity report published by the HCOB survey showed Monday.

The HCOB Manufacturing PMI in the Eurozone’s top economy dropped to 42.5 this month, compared to November’s 43.0 while missing the estimates of 43.8.

Meanwhile, Services PMI rebounded to 51.0 in December from 49.3 in November. The market forecast was 49.2 in the reported period. The gauge set a two-month high.

The HCOB Preliminary German Composite Output Index came in at 47.8 in December vs. 47.2 in November. The index was at its highest in two months.

FX implications

EUR/USD picks up fresh bids despite the mixed German data, currently trading 0.16% higher on the day at 1.0515.

Euro PRICE Today

The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the strongest against the Japanese Yen.

 USDEURGBPJPYCADAUDNZDCHF
USD -0.17%-0.20%-0.03%-0.10%-0.23%-0.36%-0.30%
EUR0.17% 0.01%0.24%0.13%0.10%-0.12%-0.08%
GBP0.20%-0.01% 0.10%0.12%0.09%-0.15%-0.10%
JPY0.03%-0.24%-0.10% -0.08%-0.20%-0.31%-0.19%
CAD0.10%-0.13%-0.12%0.08% -0.08%-0.26%-0.21%
AUD0.23%-0.10%-0.09%0.20%0.08% -0.22%-0.19%
NZD0.36%0.12%0.15%0.31%0.26%0.22% 0.03%
CHF0.30%0.08%0.10%0.19%0.21%0.19%-0.03% 

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).

Author

Dhwani Mehta

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

More from Dhwani Mehta
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

EUR/USD: Gains remain capped below 1.1800

EUR/USD consolidates its upside below 1.1800 in the European trading hours on Monday. The pair trades listlessly amid a tepid market mood, despite a broadly subdued US Dollar. Mid-tier US Pending Home Sales are next in focus. 

GBP/USD hovers around 1.3500 amid cautious markets

GBP/USD is oscillating around 1.3500 in the European session on Monday, supported by broad US Dollar softness. But the upside appears limited due to thin market conditions heading into the New Year holiday break. 

Gold corrects from record high as profit-taking sets in

Gold price retreats from a record high near $4,550 in European trading on Monday as traders book some profits ahead of holidays. If the US Dollar finds renewed demand, it could also weigh on the precious metal, as it makes Gold more expensive for non-US buyers.

Bitcoin, Ethereum, and XRP bulls regain strength

Bitcoin, Ethereum, and Ripple record roughly 3% gains on Monday, regaining strength mid-holiday season. Despite thin liquidity in the holiday season, BTC and major altcoins are regaining strength as US President Donald Trump pushes peace talks between Russia and Ukraine. The technical outlook for Bitcoin, Ethereum, and Ripple gradually shifts bullish as selling pressure wanes.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Avalanche struggles near $12 as Grayscale files updated form for ETF

Avalanche trades close to $12 by press time on Wednesday, extending the nearly 2% drop from the previous day. Grayscale filed an updated form to convert its Avalanche-focused Trust into an ETF with the US Securities and Exchange Commission.