Brazil: Industrial production rebounds in May
July 1, 2011
In May, industrial production increased a seasonally adjusted 1.3% over the previous month, contrasting a 1.2% decline in April (previously reported: -2.1% month-on-month). The reading broadly matched market expectations, which had industrial production expanding 1.2%. Compared with the same period last year, industrial output added 2.7% (April: -1.5% year-on-year). Of the 27 categories surveyed by the Brazilian Institute of Geography and Statistics (IBGE), 19 categories registered increases in output. The largest increase was seen in the production of durables, which added a seasonally adjusted 2.7% over the previous month, followed by the production of capital goods, which expanded 1.7%. Despite robust performance of industrial production in May, the trend continues to worsen, with annual average growth in industrial production falling from 5.4% in April to 4.5% in May.