GERMAN exports posted their biggest monthly drop in 2-1/2 years in February, a further sign that growth in Europe’s largest economy is beginning to lose momentum. The Federal Statistical Office said yesterday that exports dropped 3.2 percent from the month before, the second decline in a row, while imports fell 1.3 percent month on month. The falling German exports followed a series of soft economic releases from across the eurozone, suggesting that while growth will continue in 2018, it won’t be as strong in 2017. “Trade data have completed what has been another disappointing month for German industry,” said Carsten Brzeski, an economist at ING. Germany’s adjusted trade surplus — which is the balance of exports and imports of goods — decreased to 19.2 billion euros (US$23.6 billion) from 21.5 billion euros in January. Several slices of data released recently have suggested Germany’s economic growth cooled after finishing last year on a high note. In particular, a report last week on industrial production prompted several analysts to more firmly predict a slowing in the economy’s pace of expansion. “While the prospects for the German exports have deteriorated significantly in recent weeks, the present state of the economy gives some reasons for concern. In fact, the entire start to the year 2018 has been a disappointment,” said Carsten Brzeski, ING’s chief economist for Germany and Austria. (SD-Agencies) |