(Berlin)

In what comes as a very worrying sign for the global economy, one of the world’s largest economies has just gone into a recession. Germany now appears to be in an economic downturn says the country’s central bank. The Bunbesbank says Germany just shrank for the second consecutive three-month period, meaning it is officially in a recession. The decline in economic output has been led by a strong weakening in the manufacturing sector, but the labor market is still hanging on. This is Germany’s first recession in six years.

FINSUM: Germany is the world’s fourth largest economy. How long until the gloom spreads?