German economy may be on way up
A severe drop in German economic activity may be coming to an end, the economy ministry said on Friday in its latest monthly report based on several encouraging indicators.
"Many signs suggest economic activity might have stabilised in the second quarter" of 2009 after plunging by a record 3.8 percent in the first.
The comments would undoubtedly raise hopes ahead of the August 13 release of Germany's gross domestic product figure from the period between April and June.
Government officials nonetheless still expect Europe's biggest economy to contract by a whopping 6.0 percent this year, despite the arrival of some good news recently.
"Industrial demand has come back to life" and prospects for the key sector "have improved markedly," the ministry said.