Russia: Industrial production deteriorates in November
December 16, 2014
Industrial production deteriorated in November after expanding strongly for two consecutive months. Industrial output contracted 0.4% over the same month of the previous year, which represented the lowest level since May 2013. The reading, which contrasted the 1.2% expansion the markets had expected, marked a notable deterioration over the 2.9% increase and the 2.8% expansion registered in September and October, respectively. According to Federal State Statistics Service, a sharp contraction in manufacturing production was the main driver behind November’s result.
A month-on-month comparison confirms the deterioration suggested by the annual figures: Industrial output fell a seasonally-adjusted 0.2% in November, which came in well below the 0.3% increase tallied in October.
As a result of the annual contraction, the trend deteriorated in November, with annual average growth falling from 1.6% in October to 1.3%.
Author: Ricardo Aceves, Senior Economist