German factory orders rise strongly in January

German factory orders rise strongly in January

FILE PHOTO: ThyssenKrupp steel factory in Duisburg
File photo of a crane lifting up a steel coil at a steel plant. (File photo: Reuters/Wolfgang Rattay)

BERLIN: German factory orders rose more strongly than expected in January, a promising sign of strength in Europe's largest economy, official figures showed Friday (Mar 5).

The Federal Statistical Office reported that industrial orders rose 1.4 per cent in January over the previous month when adjusted for seasonal and calendar variations, double what economists had been predicting.

A 2.6 per cent drop in domestic orders was more than offset by a 4.2 per cent increase in foreign orders, the office reported.

Germany's economy has been doing better than several others in the 19-country eurozone as it was supported by manufacturing, which has taken less of a hit than services during the pandemic.

Last week, the Statistical Office reported the German economy grew 0.3 per cent in last year’s fourth quarter compared with the previous three-month period, a better performance than previously thought.

The revision meant that last year’s overall drop in GDP was a touch less sharp than originally reported - 4.9 per cent rather than 5 per cent.

Source: AP/kg