Eurozone: Industry marks second consecutive drop in June
August 13, 2014
In June, industrial production contracted a seasonally-adjusted 0.3% over the previous month, according to data released by Eurostat on 13 August. The drop—which was smaller than the 1.1% contraction recorded in May—contrasted the 0.3% expansion market analysts had expected. The result points to a continued weakness in the Euro-area industry, as it represents a second consecutive contraction in output and the third drop in the last four months.
At a country level, Ireland (-16.5% month-on-month) and the Netherlands (-3.0% mom) were the region’s worst performers. At the other end of the spectrum, Malta (+5.2% mom) and France (+1.4% mom) recorded the best results. In the other three major regional economies, output expanded in Italy (+0.9%) and Germany (+0.2%), whereas it contracted in Spain (-0.8% mom).
On an annual basis, industrial production recorded flat growth, which was down from the 0.6% annual expansion recorded in May and marked the slowest growth since August last year. Based on monthly data, industrial output expanded 0.8% in the second quarter of the year, which marked a slowdown over the 1.3% expansion recorded in Q1.
Author: Armando Ciccarelli, Head of Data Solutions