Seasonally adjusted Irish merchandise exports fell by 2% in December, relative to November 2009 and imports also decreased by 5%. November 2009 exports  remained unchanged from October 2009 while imports increased by 8%. On an unadjusted basis, the value of exports in December 2009 fell by 11% from December 2008, while the value of imports was down 14%, according to the CSO.

Germany’s export recovery prevented the economy from contracting in the fourth quarter (Q4) of 2009, the federal statistics office, Destatis, said Wednesday. The budget deficit for 2009 was reported to have been 3.3% of GDP (gross domestic product)- - just above the Euro Growth and Stability Pact limit of 3%.

Markets news on stocks, currencies and commodities; A US economist says China’s economic growth will drop to as low as 2% following the collapse of a “debt- fueled bubble” within 10 years, sparking a regional recession.

Japan today reported the biggest jump in exports in 30 years propelled by strong Asian demand.

The market research firm GfK’s German consumer climate survey shows that the index will remain virtually stable in March, with a marginal loss of 0.1 points. However, economic expectations have fallen sharply and both income expectations and the propensity to buy have dropped back slightly. The overall indicator is forecasting a value of 3.2 points for March 2010, following a revised value of 3.3 points in February. Anticipation of an increasingly difficult situation on the labour market in the coming months is overshadowing the positive effects of Germany’s Economic Growth Acceleration Act, and causing the income expectations of Germans to stagnate.

Principal news stories from the Irish Independent, Irish Times, Irish Examiner, Financial Times and New York Times.

Policymakers in the leading member countries of the EMU (European Monetary System) continue to work on a possible bailout for Greece as concerns remain high about the risk of contagion from the infamously named PIGS (Portugal, Ireland, Greece and Spain) or the PIIGS, if the Eurozone’s third biggest economy, Italy, is included.

Simon Property Group executives are peeved that General Growth Properties is in advanced talks with another suitor but still hadn’t agreed on terms for talks with Simon in recent days.

Dr. Peter Morici: US Government is broken. Nothing demonstrates this better than health care.

The increase for a second month in a row triggers fresh debate over whether the sector has reached bottom.