The S&P Global Germany Services PMI fell to 46.8 in June 2026 from 48.1 in May, coming in well below the market expectation of 49, according to flash estimates. This marked a third consecutive month of contraction and the sharpest decline since November 2022. New business decreased at the fastest rate in almost two and a half years, with surveyed firms pointing to worsening economic conditions and rising market uncertainty.
Cost pressures in the services sector eased but remained high by historical standards. Output prices for services continued to rise, albeit at the slowest rate in three months, and still above the long-run average. Business confidence among service providers weakened slightly after a rebound in May, yet remained comfortably above April’s recent low.
