Euro-zone Orders Fall; German Confidence Deteriorates

Arthi Gupta
24 Aug, 2011
New York City

Euro-zone new industrial orders slumped, Hungarian retail sales fell, and Norway

[R]3:00 PM Frankfurt – Euro-zone new industrial orders slumped, Hungarian retail sales fell, and Norway’s jobless rate remained flat in June. German business confidence fell more than estimated in August. Denmark lifted 2012 budget deficit forecast.[/R]

The economic data across the euro-zone pointed to weakening economic activities in the recent months. Though the decline is not as sharp as in the last quarter of 2008, the economy is facing strong headwinds.

Euro-zone Orders Fall

Euro-zone''s new industrial orders dropped 0.7% on a monthly basis in June after a 3.6% rise in May, according to data published by Eurostat.

From a year ago, new orders climbed 11.1% in June compared to the 13.8% increase in May.

In the EU, total industrial new orders declined 0.3% monthly, but increased 8.5% from last year in June.

German Business Sentiment Weakens

German business sentiment fell more than estimated in August, according to a monthly survey from the Ifo institute released today. The business climate index fell to 108.7 in August from 112.9 in July.

The current conditions index also dropped to 118.1 in August from 121.4 in July and the expectations index eased to 100.1 in August from 105 in July.

Hungarian Retail Sales Fall

Hungary''s retail sales fell a calendar adjusted 0.5% on an annual basis in June, reversing the 0.7% rise in May, data released by the Central Statistics Office showed.

Retail sales of food, beverages and tobacco edged higher 0.5% from a year ago and sales of non-food products declined1.3% in June.

On a monthly basis, retail sales fell a seasonally and calendar adjusted 0.5% in June, after rising 0.5% in May.

Poland Retail Sales Eases, Jobless Rate Dips

Poland''s retail sales rose 8.2% annually in July, following a 10.9% gain in June, data released by the Central Statistics Office showed.

On a monthly basis, sales climbed 0.7% in July, after a 1.4% gain in June.

Separately, the jobless rate inched lower to 11.7% in July from 11.8% in June. The rate fell for the fifth month in a row and is the lowest since October last year, when it was at 11.5%.

Norway’s Jobless Rate Flat

Norway''s unemployment rate remained unchanged at 3.3% in June, according to a report by Statistics Norway released today.

The seasonally adjusted unemployment increased by 1,000 persons from March to June.

Greece Deficit Narrows

The Greek trade deficit, excluding oil products, narrowed to €1.63 billion in June as against the €2.08 billion shortfall in the same period of 2010, data from Hellenic Statistics Authority showed on Wednesday.

The total value of imports, excluding oil, declined 11.6% annually to €2.97 billion and exports rose 4.6% to €1.34 billion in June.

Denmark Budget Deficit Outlook

The Denmark 2012 budget deficit is forecast to be DKK 5 billion higher than the government estimated in May, according to the Ministry of Finance. The deficit is seen close to DKK 85 billion, equivalent to 4.6% of GDP.