German industrial orders jump on strong export demand

AFP:  Industrial orders in Germany, a key indicator of the health of Europe’s biggest economy, jumped in August, driven by strong overseas demand for German-made goods, data showed yesterday.

German industrial orders climbed by 3.6 percent in August from July, after falling by 0.4 percent the previous month, the federal statistics authority, Destatis, said in a statement.
While domestic demand was robust, with orders from German customers rising by 2.7 percent, export demand was even stronger, with overseas orders expanding by as much as 4.3 percent, Destatis said. 

Orders from Germany’s eurozone neighbours slipped by 1.0 percent, but orders from the rest of the world jumped by 7.7 percent.

The performance beat analysts’ expectations, adding to a picture that suggests growth in the German economy may not slow down as much as many observers expected for the second half of the year.

“The strong August figure all of a sudden made a rather weak first eight months of the year a strong year for new orders,” said ING Diba bank analyst, Carsten Brzeski.
“German industry looks all set to end the year at maximum speed.”