FX.co ★ Germany’s Private Sector Momentum Builds as HCOB Composite PMI Climbs to 53.1 in February

Germany’s private sector showed strengthening momentum in February, as the HCOB Germany Composite PMI rose to 53.1, up from 52.1 in January 2026. The latest reading, published on 20 February 2026, signals a further expansion in overall business activity across both manufacturing and services.

The move higher from January’s 52.1 suggests that the recovery in Europe’s largest economy is gaining traction, with activity moving deeper into growth territory above the 50-point threshold that separates contraction from expansion. While detailed sector breakdowns were not provided, the composite figure indicates that German firms, on aggregate, are experiencing improving conditions as 2026 progresses.

The back-to-back increases in the index may support a more optimistic narrative around Germany’s near-term growth prospects, at a time when investors and policymakers are closely monitoring incoming data for signs of sustained economic resilience.