Germany is still headed for a downturn despite upbeat data, economists predict

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Germany is still headed for a downturn despite upbeat data, economists predict
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The outlook for the German economy remains bleak despite slightly promising data published on Tuesday, leading German economists agree.

"Therefore, there are the first signs that the one-and-a-half year weakness in the export sectors is starting to affect the labor market," he said.

He suggested the downbeat data was compounded by the absence of the "much-hoped for upswing in China," along with weakness in the German car industry, and thus the downward trends had not yet bottomed out.June's data increase was driven by non-euro zone orders, which increased by 8.6% month-on-month, while domestic orders fell by 1% and euro zone orders dropped for the third month in a row.

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