German industrial orders swell in ray of hope for weak economy By Reuters


(Reuters) -German industrial orders rose by more than forecast in June, official data showed on Tuesday, providing a glimmer of hope for Europe’s largest economy, where recession is back on the cards following a contraction in the second quarter.

Industrial orders increased by 3.9% in June on the previous month on a seasonally and calendar adjusted basis, the federal statistics office reported.

Analysts polled by Reuters had forecast a rise of 0.5%.

“The increase in orders in June exceeded all expectations, even without major orders,” LBBW senior economist Jens-Oliver Niklasch said.

“But in the current dark grey mosaic of economic figures, this is just a single light green tile. More needs to come together to give the industry any real confidence,” he added.

© Reuters. FILE PHOTO: A steel worker of Germany's industrial conglomerate ThyssenKrupp AG takes a sample of raw iron from a blast furnace at Germany's largest steel factory in Duisburg, Germany, January 28, 2019. REUTERS/Wolfgang Rattay/File Photo

Germany was the worst performing major economy last year.

In the second quarter, its gross domestic product shrank by 0.1%, showing the country was failing to pick up steam after skirting a recession at the beginning of the year.





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