German Economic Outlook Improved; French Sentiment Stable

Arthi Gupta
20 Feb, 2012
New York City

The Bundesbank lifted German economic outlook. French business confidence remained unchanged in February. Italian and Greek industrial orders fell in December and Inflation in Finland rose in January.

[R]2:30 PM Frankfurt – The Bundesbank lifted German economic outlook. French business confidence remained unchanged in February. Italian and Greek industrial orders fell in December and Inflation in Finland rose in January.[/R]

German Economic Outlook Positive

Germany''s economic outlook improved in the first quarter despite the sovereign debt crisis risks, the Bundesbank said in its monthly report today.

The bank said external forces would possibly weigh on production in the first quarter. However, the cyclical forces will boost activity in the second quarter, the bank said. The German economy contracted 0.2% in the fourth quarter of 2011 following an upwardly revised 0.6% expansion in the third quarter.

French Sentiment Index Stable

France''s business confidence remained unchanged in February, survey results from the statistics office Insee showed today.

French business sentiment index stood at 92 in February, the same level as in January, Insee said. The January index was revised to 92 from 91 previously.

Italian Orders Drop

Italy''s industrial new orders decreased 4.3% on an annual basis in December, data released by statistics office Istat showed.

From a month ago, new orders increased a seasonally adjusted 5.5% in December. Domestic new orders rose 5.8% from a month ago and turnover in the export orders increased 5.1%.

Greek Industrial Orders Fall

Greece''s industrial orders declined 9.4% on an annual basis in December faster than the 0.8% decrease recorded in November, data released by the Hellenic Statistics Authority showed.

In the year 2011, new orders in Greek industries increased 1.2% from the previous year, the agency said.

Separately, the agency said industrial turnover in Greece climbed 2.3% from a year ago in December than 0.3% in November. Turnover in the domestic market advanced 1.9% annually, while non-domestic turnover slipped 2.5% in December.

Finnish Inflation Rises

Finland''s consumer price index rose 3.2% annually in January compared to the 2.9% rise in December, data from Statistics Finland showed.

On a monthly basis, prices increased 0.6% in January.