{"id":437294,"date":"2026-09-01T16:00:10","date_gmt":"2026-09-01T09:00:10","guid":{"rendered":"https:\/\/www.swingfish.trade\/blog\/market-news\/euro-area-factory-growth-continues-to-expand-in-august-driven-by-germany-pmi-data-437294\/"},"modified":"2026-09-01T16:00:10","modified_gmt":"2026-09-01T09:00:10","slug":"euro-area-factory-growth-continues-to-expand-in-august-driven-by-germany-pmi-data","status":"publish","type":"post","link":"https:\/\/www.swingfish.trade\/blog\/market-news\/euro-area-factory-growth-continues-to-expand-in-august-driven-by-germany-pmi-data-437294\/","title":{"rendered":"Euro area factory growth continues to expand in August, driven by Germany &#8211; PMI data"},"content":{"rendered":"<div>\n<ul>\n<li>Eurozone August final manufacturing PMI 52.7 vs 52.8 prelim<\/li>\n<li>Prior 51.9<\/li>\n<\/ul>\n<p style=\"text-align: justify\" class=\"text-align-justify\">The final estimate reaffirms a solid showing in euro area industrial activity in August, with both factory output and new orders rising\u00a0at their quickest rates since early-2022.<\/p>\n<p style=\"text-align: justify\" class=\"text-align-justify\">The added good news is that inflation pressures also continued to ease, although rates of increase in both input costs and<br \/>\noutput prices were still above those seen immediately prior<br \/>\nto the US-Iran conflict.<\/p>\n<p style=\"text-align: justify\" class=\"text-align-justify\">The biggest positive swing to the overall report comes from Germany,\u00a0which recorded<br \/>\nits best month of manufacturing sector growth in over four<br \/>\nyears. So, that will come as a bit of a relief after the constant woes surrounding the industry in recent years.<\/p>\n<p style=\"text-align: justify\" class=\"text-align-justify\">Besides that,\u00a0business confidence strengthened again in August,<br \/>\nsignalling a fourth successive monthly rise in growth expectations for the coming 12 months. That as the\u00a0overall level of optimism was also seen above its<br \/>\nlong-term average.<\/p>\n<p style=\"text-align: justify\" class=\"text-align-justify\">S&amp;P Global notes that:<\/p>\n<blockquote style=\"text-align: justify\" class=\"text-align-justify\"><p>&#8220;The August PMI report provided the clearest signs yet<br \/>\nthat the eurozone&#8217;s industrial economy has so far shaken<br \/>\noff both the oil price shock and supply-related disruptions<br \/>\ncaused by the Middle East war. Stronger order book<br \/>\ngrowth, in part owing to a recovery in export demand,<br \/>\nshould give this expansion legs.\n<\/p><\/blockquote>\n<blockquote style=\"text-align: justify\" class=\"text-align-justify\"><p>&#8220;Breaking the PMI data down by the three main industrial<br \/>\ngroupings revealed the intermediate goods sub-sector<br \/>\nas the main contributor of manufacturing growth.<br \/>\nThis includes critical industries such as chemicals and<br \/>\nmetals, as well as electrical equipment and electronic<br \/>\ncomponents, suggesting the euro area can also be a<br \/>\nbeneficiary from the tech supercycle, even if it&#8217;s arriving<br \/>\nlate to the party.\n<\/p><\/blockquote>\n<blockquote style=\"text-align: justify\" class=\"text-align-justify\"><p>&#8220;A further softening of producer price increases, even<br \/>\nin the midst of sustained oil market volatility, helps to<br \/>\nalleviate broader inflation worries. That said, the pace<br \/>\nof disinflation is starting to level off and the PMI&#8217;s price<br \/>\nmetrics remain well above their pre-war levels, which may<br \/>\njust embolden a cautious stance by eurozone monetary<br \/>\npolicymakers.&#8221; <\/p><\/blockquote>\n<p style=\"text-align: justify\" class=\"text-align-justify\">\n<p>                            This article was written by Justin Low at investinglive.com.<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Eurozone August final manufacturing PMI 52.7 vs 52.8 prelim Prior 51.9 The final estimate reaffirms a solid showing in euro area industrial activity in August, with both factory output and new orders&hellip;<\/p>\n","protected":false},"author":216,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86],"tags":[],"class_list":["post-437294","post","type-post","status-publish","format-standard","hentry","category-market-news"],"_links":{"self":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/437294","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/users\/216"}],"replies":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/comments?post=437294"}],"version-history":[{"count":0,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/437294\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/media?parent=437294"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/categories?post=437294"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/tags?post=437294"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}