German economic growth picks up after Q1 slowdown

Bloomberg

Growth in Europe’s largest economy unexpectedly picked up in April, reversing a slowdown at the start of the year.
A Purchasing Managers’ Index for manufacturing and services rose to 55.3 from 55.1, IHS Markit said on Monday. Economists surveyed by Bloomberg predicted the measure would drop to 54.8.
“Growth of Germany’s private sector steadied in April, to arrest the loss of momentum seen in February and March,” said Phil Smith, principal economist at IHS Markit. “However, a further slowdown in new-order growth to its weakest for over a year-and-a-half does raise some concerns.”
Germany’s export-oriented economy is particularly vulnerable to any risks for global trade, even though policy makers have stressed that the immediate impact of a spat between the US and China over import tariffs will probably be small.
IHS Markit said data point to a “solid start” to the second quarter, with growth rates in both manufacturing output and services picking up slightly.
Employment increased at a faster pace.
Signs of economic stabilisation in Germany and the wider euro area will be welcomed by policy makers in the region who convene this week to discuss the next steps in gradually pulling back monetary support. The European Central Bank currently stimulates the economy by buying some 30 billion euros ($37 billion) worth of bonds a month, but is
expected to wind down that program by the end of the year.