Data published by the Federal Statistical Office (Destatis) showed that in August, factory orders fell by 5.8% after increasing by 3.9% in July (revised from +2.9%). This was the steepest drop since January. Economists had expected a 2.0% decrease. Meanwhile, over the last three months (through August), factory orders rose by 3.9% compared to the previous three months. When large-scale orders are excluded, new orders fell by 3.4% compared to July.
Destatis said that new orders fell in the capital goods sector (-8.6% m/m), the intermediate goods sector (-2.2% m/m) and in the consumer goods sector (-0.9% m/m).
Meanwhile, foreign orders declined by 2.2% m/m, while new orders from the euro area fell by 10.5% m/m. New orders from the rest of the world increased by 3.4% m/m, while domestic orders fell by 10.9%.