Thursday, February 5, 2009
The pressure is mounting for the ECB
German orders crashed 25pc in December year-on-year, roughly in line with the manufacturing melt-down underway in Japan and Korea. "This is astonishingly weak data from Europe's industrial heartland," said Julian Callow, Europe economist at Barclays Capital. Spanish orders fell 20pc. Europe's car industry has been the hardest hit sector. There is such a glut of unsold vehicles that they are being left on ships at anchor, clogging up the ports of Northern Europe. Stuck between a rock and hard place the ECB have a strong currency to support. It could be about to get dumped. Had some recent support from Japan but the confidence is going. You only need look at the data.