By Nina Adam

FRANKFURT--Orders in Germany's important manufacturing sector posted their strongest monthly gain in more than two years in October, beating forecasts, led by strong demand for motor vehicles and parts.

Total manufacturing orders, adjusted for seasonal swings and calendar effects, surged 4.9% from the month before, the Destatis statistics office said Tuesday. Economists polled by The Wall Street Journal had forecast a 0.7% gain.

The share of bulk orders was below average in October, Destatis said.

Domestic orders rose 6.3% in October from September, and foreign orders increased 3.9% with demand strong from outside the euro-currency bloc. Orders from within the eurozone, however, were flat in October compared with September.

In annual terms, total orders for Germany's manufacturing sector slipped 0.1% from October 2015, but gained 6.3% when taking account of the number of working days in each month, Destatis said.

Overall, signals from Germany's manufacturing sector have been mixed. The purchasing managers' index for the manufacturing industry slipped in November from October, but remained above its 2016 average, signaling continuing growth in the sector. Germany's Ifo business sentiment index, meanwhile, held steady in November, but the survey showed that companies trimmed their outlook for the coming six months. In the manufacturing sector, this was due to "less dynamic export prospects," Ifo said in late November.

Write to Nina Adam at nina.adam@wsj.com

(END) Dow Jones Newswires

December 06, 2016 02:39 ET (07:39 GMT)