Friday, January 22, 2010

Eurozone Industrial Orders Shows Improvement

This will be the one and only post today in a VERY slow week here at EconomPic (and it isn't an awfully dramatic post). Travels for the real job have defeated blogging in the battle for my time...

NY Times details:

Euro zone industrial new orders surged more than three times as much as expected in November against October, buoyed mainly by demand for intermediate and non-durable consumer goods, data showed on Friday.

Orders in the 16-country area rose 1.6 percent from October and were 1.5 percent lower than a year earlier, the European Union's statistics office said.

Economists polled by Reuters had on average expected a 0.5 percent month-on-month increase and a fall of 6.2 percent year-on-year.

Eurostat also revised upwards its October orders data to show slightly smaller declines than previously reported.
These levels are still down from November 2008 levels (a period that was already massively down due to the global slowdown).

Thus, while any improvement on the margin is positive, we still have a long way to go.

Source: Eurostat


  1. Euro area growth is slowing down

    The recovery of the euro area is very unlikely to continue at the same speed as it speed in the second half of 2009, according to a bunch of recent surveys. The latest is the euro area PMI, which fell from 54.2 in Decmeber to 53.6, a value consistent with a continued, albeit slower recovery. The FT also quotes Jurgen Stark of the ECB as saying that first half growth would be weaker, though there would be no double-dip recession. The chief economist of Markit, which compiles the index, said there is still a lot of momentum in the economy, especially in manufacturing.

    La Repubblica is quoting from the ECB’s monthly bulletin, according to which the prospects remained clouded with uncertainty, as the euro area embarked on a moderate expansion. The ECB also expects unemployment to continue to raise, and for investment activity to be weak.

  2. Jan. 21 (Bloomberg) -- Expansion in Europe’s service and manufacturing industries unexpectedly slowed in January, adding to signs the pace of the economy’s recovery may weaken.