German Industrial Output & Exports Recover

RTTNews | 29 days ago
German Industrial Output & Exports Recover

(RTTNews) - Germany's industrial production and exports rebounded in November but the underlying picture remained pretty grim amid job cuts in manufacturing and the possible hike in trade tariffs by the U.S.

Industrial output increased a more-than-expected 1.5 percent on a monthly basis, in contrast to the revised 0.4 percent decrease in October, data from Destatis revealed Thursday. Output was expected to grow moderately by 0.5 percent.

In the three months to November, industrial production was 1.1 percent lower than in the previous period.

Excluding energy and construction, industrial production grew 1.0 percent from the previous month. Annually, production decreased 3.2 percent.

Data showed that energy production advanced 5.6 percent on month and construction grew 2.1 percent. The manufacture of other transport equipment also had a positive impact.

The production of capital goods moved up 1.4 percent, consumer goods production increased 0.9 percent and intermediate goods output climbed 0.5 percent.

Industrial production was 2.8 percent lower than in November 2023, following a 4.2 percent drop in October. Despite the monthly increase in production, the big picture remains that German industry is struggling, Capital Economics' economist Franziska Palmas said.

Weak manufacturing activity surveys for December and low industrial orders suggest industrial output will remain subdued in the coming months, the economist added.

Data showed that German exports logged a monthly growth of 2.1 percent after October's 2.9 percent decrease. Shipments were forecast to climb 2.0 percent.

On the other hand, the decline in imports worsened to 3.3 percent from 0.3 percent in October. Economists had forecast imports to grow 0.7 percent.

Consequently, the trade surplus increased to EUR 19.7 billion in November from EUR 13.4 billion in October.

ING economist Carsten Brzeski said the rebound in industrial production and exports is a welcome relief, but it will likely come too late to prevent another quarter of stagnation.

Today's increase in production is not an indication of a recovery but it is more of a technical rebound following two months of contraction, he added.

read more
German Construction Sector Continues To Shrink

German Construction Sector Continues To Shrink

Germany's construction sector remained firmly in contraction but the pace of fall softened in January, survey data from S&P Global revealed Thursday. The HCOB construction Purchasing Managers' Index rose to 42.5 in January from 37.8 in December. Although the score was firmly below the neutral 50.0 that separates growth from contraction, the reading was the highest since May 2023.
RTTNews | 1 day ago
German Factory Orders Rebound In December

German Factory Orders Rebound In December

Germany's factory orders rebounded at a much stronger than expected pace in December largely driven by the manufacture of transport equipment. New orders increased 6.9 percent month-on-month in December, reversing a revised 5.2 percent fall in November, Destatis reported Thursday. Orders were forecast to grow only 1.9 percent.
RTTNews | 2 days ago
Eurozone Private Sector Expands For First Time In Five Months

Eurozone Private Sector Expands For First Time In Five Months

Eurozone private sector expanded for the first time in five months in January as factory production showed a slower decline amid a softer growth in services activity, final survey results from S&P Global showed on Wednesday. The HCOB composite output index rose to 50.2 in January, in line with flash estimate, from 49.6 in December.
RTTNews | 2 days ago
Spain Unemployment Rises Less Than Forecast

Spain Unemployment Rises Less Than Forecast

Spain's unemployment increased less than expected in January and also hit the lowest level for the month in 17 years as the economy continued to exhibit robust growth, official data showed on Tuesday. The number of people out of work increased 38,725 in January from the previous month, the labor ministry said.
RTTNews | 3 days ago
Eurozone Inflation Rises Modestly In January

Eurozone Inflation Rises Modestly In January

Eurozone inflation edged up in January due to the acceleration in energy price growth but the intended easing path of the European Central Bank is unlikely to be influenced by the modest increase. Inflation in the euro area increased to 2.5 percent in January, while it was expected to remain at December's rate of 2.4 percent.
RTTNews | 4 days ago
Eurozone Manufacturing Activity Falls At Slowest Pace In 8 Months

Eurozone Manufacturing Activity Falls At Slowest Pace In 8 Months

The euro area manufacturing sector shrank at a slower pace in January as contractions in output, orders, inventories and purchasing activity slowed, final survey results from S&P Global showed on Monday. The final HCOB manufacturing Purchasing Managers' Index rose to an eight-month high of 46.6 in January from 45.1 in December. The flash reading was 46.1.
RTTNews | 4 days ago
German Inflation Unexpectedly Eases In January

German Inflation Unexpectedly Eases In January

Consumer price pressures in Germany slowed unexpected at the start of the year amid a sharp slowdown in food inflation, offering some relief for the European Central Bank that lowered interest rates a day earlier and plan to continue easing to boost the single currency economy that came to a standstill in the final three months of 2024.
RTTNews | 7 days ago
ECB Surveys Show Rising Eurozone Inflation Expectations

ECB Surveys Show Rising Eurozone Inflation Expectations

Euro area consumers' inflation expectations for the next 12 months increased for a third straight month in December, while professional forecasters revised up the projections for this year and next, separate surveys by the European Central Bank showed on Friday.
RTTNews | 7 days ago