Germany: Industrial production contracts in August
October 7, 2011
In August, industrial production contracted a seasonally and working-day adjusted 1.0% over the previous month, which contrasted the revised 3.9% expansion observed in July (previously reported: +4.0% month-on-month) but defied private sector analysts' expectations that had industrial production contracting 1.9%. The August contraction was broad-based, particularly in manufacturing (July: +4.3% month-on-month; August: -1.0% mom) and construction (July: +4.0% mom; August: -1.2% mom). On a year-on-year basis, industrial production rose 7.7% in August, below the 10.3% expansion tallied in July. As a result, the trend continues to point downwards, with annual average growth in industrial production easing from 10.6% in July to 10.3% in August.
Author: Ricardo Aceves, Senior Economist