German industrial orders plunge in January

FRANKFURT, Mar 07 (AFP): German industrial orders plunged more than expected in January, official data showed Thursday, in another worrying sign for the crucial manufacturing sector in Europe's biggest economy.
New orders, closely watched as an indicator of future business activity, fell 11.3 per cent from the previous month, federal statistics office Destatis said.
Analysts surveyed by financial data firm FactSet had expected a fall of six per cent. Orders had unexpectedly surged 12 per cent in December, and January's negative figure is in part explained by the month-on-month comparison.
The economy ministry said orders from the eurozone plunged more than 25 per cent, after a strong reading in December, while demand from elsewhere increased slightly.
January's declines were spread across most sectors, with particularly heavy falls in orders for electrical equipment, metal and pharmaceutical products, the ministry said.
Destatis stressed that in a "less volatile" three-month comparison, new orders from November to January were 2.3 per cent higher than the previous three months.
Economist Jens-Oliver Niklasch from LBBW bank said the three-month comparison was "not a bad figure, once you get over the initial shock of January".