Worse-than-expected PMI data from Germany, better from France

We are after the publication of key PMI index data from France and Germany. The data from France surprised on the upside, but still the indices remain below 50 points, while in the case of Germany, services performed marginally better, but we see a strong downward slide in the PMI index for manufacturing.

Germany PMI data:

• Manufacturing: 42.3 vs. Exp. 46.1 (Prev. 45.5)
• Services: 48.2 vs. Exp. 48.0 (Prev. 47.7)
• Composite: 46.1 vs. Exp. 47.5 (Prev. 47.0)

Source: Bloomberg Finance LP

Prior to the publications, we saw a very strong DAX, which was gaining after yesterday's gains in US contracts. We are currently seeing a sizable slide on the DE40 contract: