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Germany's private sector expanded for the first time in ten months in April driven by a solid rise in services activity, survey results from S&P Global showed on Tuesday. The flash composite output index rose more-than-expected to 50.5 in April from 47.7 in the previous month. The reading was seen at 48.6.
The services Purchasing Managers' Index posted a ten-month high reading of 53.3 in April, up from 50.1 in the previous month. Economists had forecast the index to climb to 50.6.
At 42.2, the manufacturing PMI rose moderately from 41.9 in March but remained below forecast of 42.8.
"Factoring in the PMI numbers into our GDP Nowcast, we estimate that GDP may expand by 0.2% in the second quarter, following an estimated 0.1% growth in the first quarter, both in comparison to the preceding three-month period," said Hamburg Commercial Bank chief economist Cyrus de la Rubia.
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