Germany: Small recovery in factory orders - BBH

Analysts a BBH note that Germany reported a smaller than expected recovery in factory orders as after a 2.2% slide in April, economists had expected nearly a full recovery in May.  

Key Quotes

“The actual increase of 1.0% was about half of the gain forecasts.  Orders for basic and consumer goods fell, while foreign orders for investment goods rose 6.0%.”

“Despite the disappointment with today's report, the strong German manufacturing PMI for June blunts any negativity.  Germany reports May industrial output figures tomorrow.  The median guesstimate of a 0.2% rise, following a 0.8% increase in April, will suffice to lift the year-over-year, workday adjusted rate to 4%, the highest in three years.”