Eurozone factory orders rise in September

Factories in the 16-nation eurozone reported a rise of new orders in September, although more recent data has suggested economic recovery in Europe may be peaking.

Industrial new orders compared to August 2009 rose by 1.5 per cent in the euro area after a 0.6 per cent increase the previous month, according to figures released yesterday by the European Union's statistics agency.

However, when the volatile ships, railway and aerospace equipment sectors are stripped out, the increase turned into a decrease of 1.2 per cent in the country.

Across the 27-nation EU as a whole, which includes Britain and Poland, new orders were up 1.7 per cent - but only down 0.6 per cent when these sectors were taken out of the equation. Orders were down by more than 16 per cent across the EU compared to one year earlier.

Private sector business activity across the eurozone grew at the fastest rate for two years in November, but sent signs that growth may be "peaking," a survey showed on Monday.

Europe officially shook off its deepest downturn since World War II in the third quarter, but with growth lower than expected.