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Germany's construction sector logged a softer growth in August but remained strong in the context of historic survey data, IHS Markit reported Wednesday.

The headline construction Purchasing Managers' Index fell to 54.9 in August from 55.8 in July. However, a reading above 50 indicates expansion.

Activity has increased continuously for a record 31 months, survey data showed.

Growth was broad-based across residential, commercial and civil engineering, although the overall rate of expansion was the weakest since April.

New work increased at the fastest rate since the series began in September 1999, leading to a further strong rise in total activity.

Employment at construction firms increased further to support rising workloads. At the same time, purchasing activity expanded at the fastest pace since February 2016.

Input prices paid by construction firms continued to rise sharply, and the rate of inflation strengthened to a 65-month high.

Data signaled that optimism regarding the 12-month outlook for activity remained strong.