Economic situation slightly worse

The economic situation at the end of July was slightly worse than at the end of June. This is mainly because of a considerable drop in producer confidence. The heart of the scatter in the Business Cycle Tracer is still located almost in the centre of the diagram. Nine of the fifteen indicators are currently below the level of their long-term average.

The volume of the gross domestic product (GDP) was 2.8 percent higher in the first quarter of 2011 than in the same quarter one year previously. This is the highest growth rate in nearly three years. Taking calendar and seasonal effects into account, the economy grew by 0.9 percent in the first quarter compared to the preceding quarter.

Consumers remained apprehensive in July. Producer confidence in the manufacturing industry plummeted. Providers of business services were slightly more optimistic about future turnover than in June.

Manufacturing output was 3 percent higher in May 2011 than in May 2010. The volume of goods exports increased by more than 2 percent, i.e. the lowest growth rate in nearly eighteen months. The volume of private sector investments grew by nearly 10 percent relative to May 2010. Household consumption increased by a modest 0.3 percent.

The capital market interest rate dropped 0.1 percentage point in June and stood at 3.3 percent. The inflation rate remained unchanged at 2.3 percent. Selling prices in manufacturing industry were 9 percent higher than one year previously.

Seasonally adjusted unemployment dropped by 9 thousand in June. The number of job vacancies and the number of hours worked in temp jobs increased further in the first quarter, but there were slightly fewer jobs of employees than in the fourth quarter of 2010.

Gross domestic product (GDP)

More figures can be found in dossier Business cycle.