Germany's economy shrinks, fuelling fears of a recession – business live

Rolling coverage of the latest economic and financial news, including new growth figures from Germany

7.27am BST

Germany isn’t technically in recession yet — that would mean two successive quarters of negative growth.

But still…. its economy has really struggled over the last year, and has contracted in two of the last four quarters.

7.20am BST

Germany’s exporting powerhouse stumbled in the April-June quarter.

German exports fell during Q2, Destatis says, which is why the economy shrank by 0.1%.

Household final consumption expenditure increased, together with government final consumption expenditure.

In addition, more was invested than in the first quarter, however, gross fixed capital formation in construction declined. The development of foreign trade slowed down economic growth because exports recorded a stronger quarter-on-quarter decrease than imports.

Continue reading…
Source: The Guardian
Germany's economy shrinks, fuelling fears of a recession – business live