German industrial orders drop

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    BERLIN- German industrial orders fell unexpectedly in November on weak foreign demand, data showed on Wednesday, suggesting that a manufacturing slump will continue to hamper overall growth in Europe’s largest economy.

    Contracts for ‘Made in Germany’ goods decreased by 1.3 percent from the previous month, posting the steepest drop since July, data from the Economy Ministry showed. That confounded the Reuters consensus forecast for a 0.3 percent rise.

    The reading for October was revised up, however, to a rise of 0.2 percent from a previously reported fall of 0.4 percent.

    Without bulk orders, industrial orders rose 1.0 percent in November, the economy ministry said, adding that the sector’s incoming orders had stabilized at a low level in recent months.

    “At the same time, business expectations in manufacturing have brightened somewhat. So the outlook for industrial activity has improved a bit,” the ministry said.

    German business morale hit a six-month high in December, a survey by the Ifo institute showed last month, suggesting that the German economy picked up in the fourth quarter despite the manufacturing crisis. – Reuters