Brazil: Industrial output inches up in October
December 4, 2013
In October, industrial production grew 0.6% over the previous month on a seasonally-adjusted basis driven by an increase in capital goods. The result was slightly above the 0.5% observed in September and exceeded the 0.1% expansion the market had expected. In annual terms, industrial production expanded 1.0% in October (September: +1.9% year-on-year).
An increase in output was recorded in 21 of the 27 categories surveyed by the Brazilian Institute of Geography and Statistics (IBGE). Printing and media, machinery and equipment, as well as oil refining, registered the largest expansions. Beverages and motor vehicles tallied the largest contractions among the categories in which output fell.
In addition, annual average growth in industrial production inched down from 1.2% in September to 1.0% in October.
LatinFocus Consensus Forecast participants see industrial production expanding 2.3% in 2013, which is down 0.1 percentage points from last month's estimate. In 2014, industrial output is expected to rise 2.8%, which is down 0.2 percentage points from last month's forecast.
Author: Carl Kelly, Economist