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German industrial orders drop in September as Eurozone slows

German industrial orders rose 0.5% in September, falling well below forecasted growth of 2%, on weaker demand, as bookings from other EU member countries dropped by 6%.

Weak data offset positive signals for expansion of German economy and point to big obstacles the economy faces in recovery from coronavirus crisis.

Recent PMI data showed that recovery in manufacturing sector in the euro zone was mainly driven by Germany’s economic recovery, as German economy grew by a record 8.2% in Q3, driven by higher consumer spending and exports.

Germany is facing tough work in its recovery from the worst-ever recession caused by Covid-19 pandemic, as fresh wave of infections and new lockdowns across the Europe would further slow the process.