New orders in manufacturing were down 5.8% during the month, following an upwardly revised 3.9% gain in July (original estimate: +2.9%), according to data released on Monday by the Deutsche Bundesbank.

This was the first decline in three months and the steepest monthly decrease since January, when orders plunged by 10.9%.

Compared with last year August, orders were down 3.9% after a 4.6% annual increase the month before.

Nevertheless, after two months of monthly gains, the less volatile three-month moving average comparison showed that new orders were up 3.9% between June and August.

The reversal in orders in August came after a strong month of orders of transport equipment in July, such as aircraft, ships, trains and military vehicles. When these were excluded, August's orders were down only 3.4% over the month.