S&P GLOBAL MARKET INTELLIGENCE deputy chief economist Phil Smith said Germany’s services-sector recovery lost momentum in October as business demand softened, according to the latest PMI. Q3’s pickup in new-business inflows and existing backlogs helped sustain October activity, but Smith warned that continued growth through the rest of Q4 would likely require a swift rebound in demand. The business expectations index rose to its highest since February, suggesting the slowdown may be temporary. T

S&P GLOBAL MARKET INTELLIGENCE deputy chief economist Phil Smith said Germany’s services-sector recovery lost momentum in October as business demand softened, according to the latest PMI. Q3’s pickup in new-business inflows and existing backlogs helped sustain October activity, but Smith warned that continued growth through the rest of Q4 would likely require a swift rebound in demand. The business expectations index rose to its highest since February, suggesting the slowdown may be temporary. The reintroduction of an October fuel discount pushed down input and output price inflation, but price pressures remain elevated by historical standards. Firms also cited high fuel costs, rising borrowing costs and wage growth as ongoing margin squeezes.