German exports rise but Ukraine clouds gather

German exports bounded higher in February, the official statistics agency said Monday, cautioning that the Ukraine conflict and sanctions against Russia were likely to cloud the picture in the months ahead.

Exports rose by a higher-than-expected 6.4 percent on the previous month to reach a value of 124.7 billon euros ($137.5 billion), Destatis said, powered by strong demand from European Union countries.

Analysts surveyed by FactSet had predicted a two-percent increase.

Imports jumped 4.5 per cent month-on-month, totalling 113.1 billion euros.

But trade with Russia was "markedly down", Destatis said, with exports falling by 6.3 per cent and imports by 7.3 per cent, revealing the first impact of sweeping Western sanctions imposed on Russia after its February 24 invasion of Ukraine.