FOREX TradingCharts.com

Financial News: German Construction Sector Sentiment Sinks Amid Material S

German Construction Sector Sentiment Sinks Amid Material Shortages

04/28/2022 - 07:17:00 (RTTNews)

(RTTNews) - Germany's construction sector morale eroded sharply in April as an increasing number of firms face supply shortages due to the war in Ukraine, survey data from the ifo institute showed Thursday.

The share of building construction companies reporting material shortages rose to 54.2 percent in April from 37.2 percent in the previous month.

In civil engineering, the proportion climbed to 46.2 percent from 31.5 percent.

"These are all-time highs since the start of the time series in 1991," ifo researcher Felix Leiss said.

The business expectations index for building construction sank to minus 46.9 points, once again the lowest level since 1991. In civil engineering, the reading fell to minus 48.6 points.

"Russia and Ukraine are major suppliers of structural steel, of which there is now a shortage," Leiss said.

As the production of many building materials is also very energy-intensive, the recent sharp price increases for energy could derail domestic production and raise the cost of building materials further, the ifo researcher added.

German producer price inflation accelerated to a record high 30.9 percent in March, driven by soaring energy prices, official data showed last week. Developers are also concerned about the prospect of higher interest rates that would increase the cost of financing. Consequently, more orders are being canceled, the survey found. Among building construction companies, 7.5 percent reported order cancellations in April versus 4.6 percent in the previous month. The share of civil engineering firms reporting cancellations climbed to 9.3 percent from 3.9 percent in March. The latest S&P Global purchasing managers' survey for the German construction sector revealed a sharp slowdown in activity growth in March, led by residential construction, as demand was damped by the war in Ukraine, rising prices as well as supply shortages.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2022 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Hong Kong Exports Recover In April (14 min(s), 21 sec(s) ago)
(RTTNews) - Hong Kong's merchandise exports and imports recovered in April, data from the Cens ...Full Story»

Turkey Economic Confidence Improves In May (20 min(s), 21 sec(s) ago)
(RTTNews) - Turkey's economic confidence improved in May, survey results from the Turkish Stat ...Full Story»

Singapore Industrial Production Rises At Faster Pace (24 min(s), 21 sec(s) ago)
(RTTNews) - Singapore's industrial production increased at a faster pace in April, data from t ...Full Story»

Bank Of Korea Raises Key Rate For Second Straight Time (03 hr(s), 35 min(s), 21 sec(s) ago)
(RTTNews) - The Bank of Korea lifted its key interest rate by a quarter point for the second strai ...Full Story»

European Economics Preview: Italy Business Confidence Data Due (04 hr(s), 35 min(s), 21 sec(s) ago)
(RTTNews) - Business and consumer confidence survey results from Italy are due on Thursday, headli ...Full Story»

South Korea Rate Decision Due On Thursday (51 min(s), 39 sec(s) ago)
(RTTNews) - The Bank of Korea will wrap up its monetary policy meeting on Thursday and then announ ...Full Story»

Fed Minutes Hint At More 50 Basis Point Interest Rate Hikes (22 min(s), 39 sec(s) ago)
(RTTNews) - With inflation remaining stubbornly elevated, the minutes of the Federal Reserve's ...Full Story»

Latvia Unemployment Rate Rises In Q1 (08 min(s), 39 sec(s) ago)
(RTTNews) - Latvia's jobless rate increased in the first quarter, after falling in the previou ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Hong Kong Exports Recover In April

05/26/2022 - 06:54 AM (RTTNews)
(RTTNews) - Hong Kong's merchandise exports and imports recovered in April, data from the Cens ...Full Story>>

Turkey Economic Confidence Improves In May

05/26/2022 - 06:48 AM (RTTNews)
(RTTNews) - Turkey's economic confidence improved in May, survey results from the Turkish Stat ...Full Story>>

Singapore Industrial Production Rises At Faster Pace

05/26/2022 - 06:44 AM (RTTNews)
(RTTNews) - Singapore's industrial production increased at a faster pace in April, data from t ...Full Story>>

Bank Of Korea Raises Key Rate For Second Straight Time

05/26/2022 - 03:33 AM (RTTNews)
(RTTNews) - The Bank of Korea lifted its key interest rate by a quarter point for the second strai ...Full Story>>

European Economics Preview: Italy Business Confidence Data Due

05/26/2022 - 02:33 AM (RTTNews)
(RTTNews) - Business and consumer confidence survey results from Italy are due on Thursday, headli ...Full Story>>

Do not sell my personal information

Copyright © 2022. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.