Euro zone industrial new orders rebounded more than expected in June against the previous month, adding to signs of economic recovery, but were still down by a quarter against last year's levels.
Orders rose 3.1 per cent month-on-month for a 25.1 per cent annual drop, European Union statistics office, Eurostat, said.
The monthly rebound in June comes after two straight months of declines in orders, with Eurostat revising down May data to a 0.5 per cent monthly fall from -0.2 per cent and to a 30.3 per cent annual drop from -30.1 per cent.
The June rise was led by a surge in demand for capital goods, up 5.6 per cent, and non-durable consumer goods, up 3.1 per cent on the month. Demand for intermediate goods and durable consumer goods remained subdued, down 0.9 and 3.5 per cent respectively.
Industrial new orders point to trends in economic activity as they will translate into production over the coming months.
Excluding orders for ships, planes and trains, which are volatile, orders were still up 1.9 per cent on the month and down 26.7 per cent year-on-year, a less pronounced fall than May's 30.3 per cent or April's 35 per cent.
Reuters