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Brazil Industry January 2019

Brazil: Industrial production drops in January

Industrial production contracted in January, falling 0.8% month-on-month in seasonally-adjusted terms. The result contrasted December’s revised 0.2% increase (previously reported: 0.0% mom).

The slump was driven by falling output of capital, intermediate and consumer goods. Among sectors, industrial output contracted in 13 of the 26 surveyed, with pharmaceutical products recording the most significant decline.

On an annual basis, industrial production plunged 2.6% in January, following December’s 3.6% decrease. Annual average growth in industrial production dropped to 0.6% from December’s 1.3%, the worst reading since September 2017.

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