Last week in an interview with CNBC in Washington Lagarde said that “It looks as if Germany might have turned the corner” in terms of industrial productivity. We certainly don’t hope that Lagarde has had a glance at last week’s Ifo report, because if she did she would have had to eat her own words. Just look at the orders on hand reported by the vehicle industry which are approaching GFC levels.

We wrote an Ifo Nugget with a deep dive into the report which you can read here.