German factory orders lower than expected in July

Factory orders fell by 2.8% m/m in July, led by the 7.4% m/m decline in orders from abroad, while domestic orders rose by 3.6% m/m. Market expectations were for a decline by 1.5% m/m. Compared to the same period 1 year ago factory orders rose by 8.7%. The data is a clear indication that the weakening of international economy is having a negative impact on the German industrial sector, in line with the indications come from the IFO business index.

German IFO Business Confidence Index Shows Anything But Optimism

The German IFO business confidence index fell more than expected in August, from 112.9 to 108.7 - the lowest since July 2010. The market expectations were for a decline to 111. According to the historical relationship between the IFO business confidence index and the German industrial production (continue on seekingalpha)

Sterling to Weaken vs. the Euro

In the UK, the GDP grew by 0.2% q/q and 0.7% y/y in Q2, in line with market expectations. The year over year change is the lowest since Q1 ’10. The statistics office estimated that excluding factors such as the Japanese earthquake...(continue on seekingalpha)

German Equity Markets Should Continue Outperforming in the Eurozone

In the following graphs, we show how the Dax index clearly overperformed other eurozone countries equity markets since 2003 when the Germany economy started to benefit from structural reform implemented in early 2000. Continue on seekingalpha...

The Euro May Start a Downward Trend

Having touched a 5 weeks high on June 7th at 1.4696, the euro/U.S. dollar exchange rate tumbled in the following three days, falling below 1.44. Continue on seekingalpha...

Government Bonds: Not a Long-Term Buying Opportunity

Government bond yields were expected to rise over the spring as the QE2 program of the Fed came close to an end in June and inflationary pressures remained elevated amid high energy prices. continue on seekingalpha...

The Week Ahead: GDP and Personal Spending Figures

Our latest article on Seekingalpha: The Week Ahead: GDP and Personal Spending Figures