No change to the initial estimate as German industrial activity declines last month with a sharp fall in demand weighing on factory output. There was also a steep and accelerated decline in new orders with firms growing more pessimistic about the outlook. S&P Global notes that:

"We're seeing a rapid correction in underlying demand for German goods. Inflows of new orders across the sector showed a deepening decline in June, as firms reported a degree of demand destruction from higher prices, growing market uncertainty, and multiple headwinds to export sales.

"However, though steep, the decline in new orders has merely brought the level more into line with that of output after a long period of outperformance, which helps explain why we've not seen a similarly sharp fall in production.

"Still, the data for the three months to June pointed to the sector's weakest quarterly trend in production for two years. With backlogs now in decline, firms have downgraded their expectations for output over the next 12 months to the gloomiest for over two years.

"We're starting to see some relief on the inflation front, with rates of increase in both input costs and output prices slowing down for a second straight month. However, it's difficult to untangle any alleviation of pressure coming from the supply side from the effects of weaker demand."