Industrial production in Germany unexpectedly fell due to the slowdown of the Chinese economy.
Industrial production in Germany unexpectedly fell in August, indicating that Europe's largest economy is feeling the effects of lower demand in emerging markets. The production, adjusted for seasonal swings and inflation, fell by 1.2% in August, after a revised increase of 1.2% in July, showed in Wednesday, data from the Ministry of Economics in Berlin. The data, which tend to be volatile, compared with an average estimate of growth of 0.2% in a survey of economists Bloomberg. Industrial production increased by 2.3% compared with the previous year. Germany is struggling with a slowdown in China and other emerging markets, which are key to its exports. Factory orders from countries outside the 19 countries in the euro region declined by more than 13% in July and August total. Because of this, the focus shifted to strengthening domestic spending, fueled by deferred
investment demand and consumption. "For the last couple of months, industrial safety, less low stocks and filled order books decreased," - said Carsten Brzeski, senior economist at ING-Diba AG in Frankfurt. - "Anyway, the weak euro and the extremely favorable financing conditions are not fully extended impact on the economy, so far." The single currency
EUR / USD little changed after the report and traded at $ 11,265 at 8:15 am Frankfurt time. It depreciated by more than 11% last year.
According to the materials WELTRADE