- EMU: The final Manufacturing PMI came in at 49.8, aligning with the flash estimate.
- Germany: The final Manufacturing PMI was 49.1 (forecast: 49.2, previous: 49.2). A reading below 50 indicates a continued slight stagnation in the sector, although it is a bit milder than before. This points to stabilization, but the sector is not yet showing broader production growth. While PMIs have rebounded significantly since the beginning of the year, we still haven't seen readings above the 50-point threshold.
- France: The final Manufacturing PMI was 48.2 (forecast: 48.4, previous: 48.4). This is also below the 50 mark, suggesting a further deterioration in sentiment and activity in the manufacturing sector. The pace of decline in new orders was the fastest since January, with exports showing a particularly strong weakening.
Based on the PMI data, the outlook for the European economy's manufacturing sector is one of cautious and uneven recovery. While there are signs of improvement, particularly in smaller economies like Spain and the Netherlands, larger economies are showing mixed results. Germany is experiencing a slow but steady recovery, supported by a rebound in foreign demand and a more stable political environment. In contrast, France is acting as a significant drag on growth, facing renewed deterioration in new orders and heightened political and fiscal uncertainty. The lingering global trade tensions, particularly related to unpredictable US tariff policies, continue to strain supply chains and temper optimism across the board. Overall, the recovery is fragile, and sustainable, widespread growth will depend on greater stability, both politically and commercially, as well as a more robust rebound in domestic demand.
EURUSD and DE40 are not responding to the data. EURUSD is changing direction to south and DE40 is continuing a strong decrease from the beginning of the first session in August. Rather poor sentiment on the market is related to the uncertainty over the global economy after the US has announced a series of global tariffs.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile app
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
