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German industry output posts biggest fall since '95

Tuesday, Nov 11, 2008
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BERLIN, (Reuters) - German industrial production fell by a larger-than-expected 3.6 percent in September, the largest monthly decline in nearly 14 years, preliminary figures from the Economy Ministry showed on Friday. The seasonally adjusted decline was the second in three months, and followed a 3.2 percent rise in August. The fall was the biggest since January 1995, according to Bundesbank data. Economists polled by Reuters last week had forecast output would decline by 2.0 percent month-on-month. Manufacturing output dropped by 3.8 percent, the strongest decline since German reunifcation in 1990, according to the Bundesbank. Energy production declined by 1.5 percent and construction output by 1.7 percent. On Thursday, data showed German manufacturing orders posted their biggest monthly fall in September since reunification, underlining the severity of an economic downturn.

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