Brazil: Industrial production declines in November
January 5, 2011
In November, industrial production contracted 0.1% over the previous month in seasonally adjusted terms. The decline followed two months of growth (September: +0.1% month-on-month; October: +0.3% mom) and came in below market expectations that industrial production would rise 0.1%. On an annual basis, industrial output expanded 5.3% in November (October: +1.8% year-on-year). The monthly contraction reflected a notable deterioration in food production (-2.1% month-on-month) and pharmaceuticals (-2.0% mom). In contrast, capital goods output rose 3.2% compared to the previous month. Due to the weak November reading, the annual average growth rate remained flat at the 11.7% recorded in October, thus ending an unbroken rise in the annual average growth rate observed during the past 12 months.