Less consumption and lower construction investment dampens growth. Gross domestic product increases in the second quarter by only about 0.1%.

The German economic upturn has nearly ground to a standstill in the second quarter. The GDP grew by only about 0.1% from April to June in comparison with the first quarter, according to the German Federal Statistical Office in its initial estimate.

"This is the slowest growth rate since the beginning of 2009 when the financial crisis reached its climax“, said a statistician. 45 analysts questioned by Reuters had reckoned with an average of plus 0.5%, although their forecasts ranged from 0.2% to 0.8%. At the same time, the statisticians corrected the growth downwards for the first quarter from 1.5% to 1.3%.

"Private consumer spending and construction investment held the German economy back in the second quarter of 2011“, one said. Because imports rose faster than exports, negative impulses also came from foreign trade. In comparison, investment by enterprise continued and held the economy on a course of growth. The statisticians will release further details on the 1st of September.
Source:  -www.welt.de-