Industrial orders fall 5.4, sapped by large orders
Retail sales down 0.6 despite hopes for preChristmas boost
Economist light winter recession expected

BERLIN, Jan 8 Reuters German industrial orders and retail sales unexpectedly fell in November, reigniting recession fears after the euro zone39;s largest economy barely grew in the third quarter.

Industrial orders declined 5.4 from the previous month on a seasonally and calendar adjusted basis, the federal statistics office said on Wednesday. Analysts polled by Reuters had forecast no change.

Carsten Brzeski, global head of macro at ING, said weak order books and stillhigh inventories did not bode well for industrial production over the coming months.

German new orders and retail sales data confirm our view of a light winter recession in Germany, he added.

October39;s sizeable largescale transport equipment orders were not repeated in November, with new orders in the sector down 58.4 in November.

Excluding large orders such as for trains, ships and aircraft, orders were 0.2 higher than the previous month, the statistics office said.

A monthly 3.8 rise in domestic orders failed to fully offset a 10.8 drop in foreign orders, with new orders from the euro zone down 3.8 and from other regions down 14.8.

Commerzbank economist Vincent Stamer said a recovery in German manufacturing was still not in sight.

In a less volatile threemonth comparison, incoming orders between September and November were 1.7 higher than…