German industrial orders unexpectedly dropped in February, partly because companies got fewer major contracts, suggesting manufacturers had a subdued start to 2015 in Europe's largest economy. Hayley Platt reports.
German factories secured fewer orders than expected in February. It was the second month in a row demand has dipped. Data released by the German Economy Ministry showed a 0.9 percent decline in orders over January. That was on top of a 2.6 percent decrease the previous month. It's one of Germany's more volatile indicators which Schroder's Azad Zangana says isn't anything to be too concerned about. (SOUNDBITE)(ENGLISH) AZAD ZANGANA,SENIOR EUROPEAN ECONOMIST AND STRATEGIST AT SCHRODERS SAYING: "The German economy is performing quite well. more stable data that we receive from say the market PMI or the Industrial Production data. That's been much more stable and continuing to rise at quite a strong pace." It follows a raft of positive data from the region - helped largely by the weak euro. (SOUNDBITE)(ENGLISH) AZAD ZANGANA,SENIOR EUROPEAN ECONOMIST AND STRATEGIST AT SCHRODERS SAYING: "Germany is slowly coming out of the slump that we've seen over the last year and it's helping to lift growth in the rest of the euro zone as well." Overall, Germany looks set for a decent performance in the first quarter. Business and investor morale is improving, unemployment falling and the private sector is gaining traction. Consumer sentiment is at a 13 1/2 year high as shoppers benefit from rising wages and cheap oil.