A fourth wave of COVID-19 infections and tighter restrictions led to a reduction in German service sector business activity in December. Demand was hit by the resurgence in the pandemic, with new export business falling particularly steeply. Businesses' growth expectations improved, however, reflecting widespread hopes that activity would rebound from the current low ebb over the course of 2022. Price pressures meanwhile remained elevated in December. Rates of input cost and output price inflation ticked down from November's record highs, but were still the secondfastest on record. After signalling growth in each of ... (full story)