April’s sharper-than-expected decline in German manufacturing orders weighs on the EUR and raises concerns over industrial momentum.
German factory orders fell 3.8% month-over-month in April, reversing a revised 4.5% gain in March. The drop exceeded the consensus forecast of a 1.2% decline, signaling a slowdown in the country’s manufacturing sector.
The data highlights weakening demand for German-made goods, contrasting with recent signs of economic stabilization. March’s upward revision had suggested a temporary rebound, but April’s contraction underscores persistent challenges in the industrial base.
The EUR/USD pair dipped slightly following the release, trading near 1.1520, a monthly low. Technical indicators suggest oversold conditions, but the pair remains below its 100-day moving average, reinforcing a bearish outlook.