German industrial output and trade activity rose sharply in April but the Bundesbank cut its growth forecast for this year, saying Europe’s largest economy would slow down again after a second-quarter surge.
The jump in activity offered some encouragement to other euro zone states, which are counting on increased German demand to help them export their way out of the region’s crisis.
But Germany’s central bank said the economy would slow considerably after a strong second quarter, cutting its 2013 growth forecast by 0.1 percentage points to 0.3 percent and its estimate for 2014 growth to 1.5 percent from 1.9 percent.
The Bundesbank’s 2013 prediction brought it into line with the International Monetary Fund, which halved its forecast for Germany on Monday.
via Reuters
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Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
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