German factory orders fall more than expected

(Sharecast News) - Factory orders in Germany fell more than expected in May, according to data out on Friday from the Federal Statistical Office, Destatis. Price-adjusted new orders in manufacturing were down 1.4% over the month, pulling back after a revised 1.6% increase in April, up from the initial estimate of 0.6%.

This was the first decline since January and well below the 0.1% fall expected by economists.

If large-scale orders are excluded, new factory orders would have been 3.1% lower in May.

The monthly drop was largely attributable to the 17.7% plunge in new orders in the manufacture of computer, electronic and optical products, with several large-scale orders recorded in the sector.

Electrical equipment orders also fell 6.2%, while orders in the manufacture of basic metals dropped 5.1%.

On the upside, orders for the manufacture of fabricated metal products surged 18.2%, while orders for the manufacture of other transport equipment increased 6.8%.