Berlin - German factory orders unexpectedly fell for the third consecutive month in February, data released Friday showed, helping to raise new concerns about the outlook for Europe's biggest economy as well as the impact of the surging euro on the nation's exports.

Orders slumped 0.5 per cent, the Ministry of Economics and Technology said, led by a sharp fall in foreign orders.

Economists had forecast that factory orders, which are seen as a key if volatile economic indicator, would rise by 0.9 per cent in February.

However, while domestic orders were unchanged, foreign order books contracted by 1.1 per cent with the data compiled against the backdrop of the euro climbing to set a series of all-time highs.

"The weakening is mainly from abroad," the ministry said releasing the figures, adding that domestic demand continued to be robust.

While the data showed orders from non-eurozone countries dropping by 1.9 per cent in February, orders from Germany's partners in the 15-member eurozone were unchanged. (dpa)