Surprising plunge in German industrial orders revealed : Analysis

German-made industrial goods experienced a drop in new orders in October, according to provisional data from the federal statistics office. Factory orders in manufacturing were down 7.3% year-on-year and 3.7% from September, contrary to analysts’ expectations of a 0.2% increase. The decline was mainly attributed to the machinery and equipment sector, which saw a 13.5% decrease in new orders. Other major sectors, including fabricated metal products, basic metals, electrical equipment, and automotive parts, also reported a decrease in demand. Foreign orders fell by 7.6% month-on-month, while domestic orders rose by 2.4%. However, aircraft, ship, and train equipment manufacturers and the consumer goods sector saw an increase in new orders. Economists predict a further contraction in Germany’s industrial output, indicating a potential recession for the country.

Analysis:
The article presents provisional data from the federal statistics office that shows a drop in new orders for German-made industrial goods in October. It states that factory orders in manufacturing were down 7.3% year-on-year and 3.7% from September, contrary to analysts’ expectations of a 0.2% increase. The decline was mainly attributed to the machinery and equipment sector, which saw a 13.5% decrease in new orders. Other major sectors, including fabricated metal products, basic metals, electrical equipment, and automotive parts, also reported a decrease in demand.

It is important to note that the article does not provide any sources for the data or the economists’ predictions. Therefore, without the original source of the data, it is difficult to independently evaluate its credibility or accuracy. Additionally, the article does not provide any context or explanation for the decline, nor does it mention any potential biases or limitations of the data. This lack of information makes it difficult to fully understand the implications of the decrease in new orders and the predicted recession.

Given the current political landscape and the prevalence of fake news, it is essential to critically evaluate the information presented in this article. Without access to the original data and analysis, it is challenging to determine the overall reliability of the article. It is important for readers to seek additional sources and expert opinions to gain a more comprehensive understanding of the economic situation in Germany.

Source: RT news: Sharp unexpected fall in German industrial orders reported