Eurozone: Industrial production contracts in June
August 14, 2012
In June, industrial production dropped 0.6% over the previous month in seasonally adjusted terms. The result contrasted the 0.9% rise recorded in May (previously reported: +0.6% month-on-month) and came in above market expectations of a 0.7% drop. On an annual basis, industrial production declined 2.2%, which was up from the 2.6% contraction registered in May. At a country level, Slovenia (+2.9% mom) and Ireland (+2.7% mom) were the region's top performers whereas, at the other end of the spectrum, Estonia (-1.7% mom), Slovakia and Italy (both -1.4% mom) recorded the worst results. Among the remaining major economies, Germany showed the largest drop (-0.8% mom), followed by Spain (-0.6% mom) and France (-0.1% mom). As a result of the monthly reading, the trend continued to deteriorate, with annual average growth in industrial production swinging from a 0.3% increase in May to a 0.1% drop in June, which represents the first negative reading since June 2010.
Author: Armando Ciccarelli, Head of Data Solutions