Germany: Industrial output rises more than expected in October
December 8, 2010
REAL SECTOR | Industrial output rises more than expected in October In October, industrial production expanded 2.9% in seasonally adjusted terms over the previous month. The reading contrasted the revised 1.0% contraction recorded in September (previously reported: -0.8% month-on-month) and overshot market expectations of a 1.0% rise. On an annual basis, industrial production expanded 8.1% in October, which was up from the 7.8% expansion observed in September. The surprise expansion in October was broad-based. In particular, manufacturing output grew 3.1% over the previous month, contrasting a 0.8% decline observed in September. In addition, construction expanded 1.3% in October (September: -0.2% mom). The trend continues to point to a sustained recovery, with the annual average variation in industrial production jumping from 5.4% in September to 7.4% in October, which marked the fastest pace on record.
Author: Ricardo Aceves, Senior Economist