Bundesbank Cuts Outlook Even as Factory Orders Jump

The Bundesbank cut its German economic forecasts through 2016 even as the country’s factory orders showed signs of a pick-up.

The Frankfurt-based central bank halved its forecast for growth in gross domestic product next year, predicting an expansion of 1 percent compared with its June outlook of 2 percent. Factory orders, a typically volatile signal of future growth, jumped 2.5 percent in October, or five times as much as the median estimate in a Bloomberg survey.