Germany's DAX Index Starts 2026 in Green as Manufacturing PMI Takes Spotlight

12:05 PM EST, 01/02/2026 (MT Newswires) -- German stocks ended the truncated trading week and the first session of 2026 in the green as markets mull over the latest private sector data releases. The blue-chip DAX Index edged up 0.20% on Friday's close. The final HCOB Germany Manufacturing PMI dropped to a 10-month low of 47 in December 2025 from 48.2 in the prior month, below the flash estimate of 47.7, as production slipped back into contraction territory after recording an increase for nine months, according to S&P Global and Hamburg Commercial Bank. "Manufacturing had shown hints of recovery earlier in 2025, but the downturn has deepened again in December, driven by investment and consumer goods. The headline PMI index has slipped to its lowest point since last February. The sharp decline in export orders, which have now fallen for the fifth month in a row, points to a very weak start to 2026," said Hamburg Commercial Bank Chief Economist Cyrus de la Rubia. "In December, industry was affected not only by weak demand and falling sales prices, but also by rising input prices, which came as a surprise." For the wider eurozone, the final manufacturing PMI reached a nine-month low of 48.8 in December 2025, down from the previous month's 49.6 and lower than the initial estimate of 49.2, amid a decline in factory production across the region. The final reading reflects a deterioration in manufacturing performances in key euro area economies, most notably Germany, while France saw an improvement. On the corporate front, Siemens Energy's (ENR.F) Siemens Energy Global division completed its purchase of a 50% stake in RWG (Repair & Overhauls) from a unit of British engineering and consulting company John Wood Group for a cash consideration of $151 million. The German energy technology company closed the session 1.33% higher. Meanwhile, German private equity holding company Mutares (MUX.F) expanded its footprint in the North American steel processing market with the conclusion of its acquisition of US-based cold-rolled strip steel producer Greer Steel Co. from Greer Industries.