Macro Nugget: Germany has never recovered from the energy crisis
Both IP and construction continue to look weak!
Today’s dismal industrial production figures in Germany are nothing new following the energy crisis. When examining various indicators, it’s clear that Germany has never fully recovered. Energy-intensive industries have seen a structural decline in production, with the potential closure of a VW plant on German soil being a direct consequence. It’s not just industrial production that’s struggling; the construction sector is also suffering due to higher interest rates and weak consumer demand.
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