German factory orders jump in December

German industrial orders, a key measure of demand for German-made goods, rose sharply in December, data showed on Thursday, confirming recovery is underway in Europe's biggest economy, analysts said. After dropping by 2.4 percent the previous month, industrial orders jumped by 4.2 percent in December, the economy ministry said in a statement.
There was strong demand both at home and abroad, with domestic orders climbing by 3.4 percent and export orders up by 4.8 percent, the ministry calculated. Orders from the eurozone soared by 5.9 percent and those from outside the eurozone were up by 4.0 percent, it said. By sector, orders for semi-finished goods climbed by 2.8 percent and those for capital goods jumped by 5.7 percent, while demand for consumer goods slipped by 0.6 percent.
Analysts said the surprisingly strong rise in the headline number was a sign that recovery is underway in Europe's economic powerhouse. "There cannot be any doubt now that an upswing is under way, maybe even a surprisingly strong one," said UniCredit economist Andreas Rees. Natixis economist Johannes Gareis agreed. "This is good news for the German economy and it indicates that the global economy and the eurozone should have gained some speed towards the end of last year," he said.