India: Industrial output rebounds in August
October 12, 2012
In August, industrial production expanded 2.7% over the same month last year, according to the so-called quick estimate for the index of industrial production (IIP). The figure contrasted the revised 0.2% contraction seen in July (previously reported: +0.1% year-on-year) and marked, in fact, the fastest pace of expansion in six months. In addition, the reading exceeded market expectations of a 1.0% rise. The monthly expansion was underpinned by positive readings both in manufacturing and in mining, which contrasted the contractions seen in the previous month. On a use-based classification, the result was broad-based, with all sub-categories improving over July, in particular the production of consumer goods. Despite the increase, the trend stabilized, with annual average growth in industrial production remaining unchanged in August at 0.9%.