German manufacturing orders rebound in March

German manufacturing orders rebounded in March after decreasing for two consecutive months, official data showed on Thursday. Weak demand from abroad, however, has weighed on the recovery.

Adjusted for seasonal, working-day and inflation swings, new orders in Germany's manufacturing sector increased by 0.9 percent in March on the previous month, German federal statistical office Destatis said, attributing the growth to solid demand from home and the euro zone.

In March, domestic orders rose by 4.3 percent on a month-to-month basis and those from Germany's euro zone partners were up by 2.5 percent. Orders from countries outside the common currency area, however, dropped by 4 percent.

In January and February, manufacturing orders declined by 2.6 percent and 0.9 percent respectively.

The German Federal Economy Ministry said low demand from abroad was responsible for the moderate start of the new year. The underlying trend of Germany's manufacturing sector, however, remained upward thanks to positive business climate and domestic demand.

German business confidence currently stood at its 10-month high, suggesting the continuance of upswings in German economy, a recent survey from Munich-based Ifo economic institute showed.

Last month, German government raised its 2015 growth forecast to 1.8 percent. Domestic demand was seen as the main driving force in current year. Endit