2013.02.0105:26:00UTC+00German Manufacturing PMI Improves More Than Estimated

An indicator of Germany's manufacturing sector performance improved more than primarily estimated in January, detailed results of a survey by Markit Economics revealed Friday.

The seasonally adjusted purchasing managers' index for the manufacturing sector rose to 49.8 in January from 46 during December. However, a reading below 50 suggests contraction of the overall activity.

Markit said that the index has now posted below 50 in each of the past 11 months, but the latest reading signalled the slowest pace of deterioration over this period.

Production improved in January, ending nine-month bout of contraction. New order intakes stabilized over the month, while new business from abroad dropped marginally.

Staffing levels in the manufacturing sector decreased for the fourth month running, the report said.