Portugal: Economic activity deteriorates sharply in September
November 30, 2011
Economic activity plummeted in September, after performing moderately well in August. Retail sales dropped 3.7% in seasonally and working-day adjusted terms in September, which contrasted the 0.9% increase recorded in the previous month and represented the first monthly contraction in four months. On an annual basis, retail sales fell from a 4.4% drop in August to a 6.3% contraction in September. Simultaneously, industrial production dropped 5.9% in seasonally and working-day adjusted terms in September, which marked the worst reading since May 2005 and contrasted the all-time record high 8.6% expansion recorded in the previous month. On an annual basis, industrial production stepped down from a 0.4% decline in August to a 2.0% contraction in September. Despite the notable drop recorded in September, the annual average growth in industrial production remained stable at August's 0.7% decline, the lowest reading since August 2010.