Italy: Industrial production drops again in March
May 10, 2013
In March, industrial output fell a seasonally adjusted 0.8% over the previous month, which came on top of the revised 0.9% contraction recorded in February (previously reported: -0.8% month-on-month). Moreover, the contraction exceeded market expectations, which expected a 0.3% decline. The monthly drop was largely driven by a deterioration in mining and quarrying as well as in manufacturing, whereas the energy sector improved compared to the previous month.
On an annual basis, industrial output dropped a working-day adjusted 5.2%, which represents a deterioration over February's revised 4.0% decline (previously reported: -3.8%) and marks the 19th consecutive contraction. That said, the trend is pointing upwards, with annual average growth in industrial production stepping up from minus 6.1% in February to minus 5.9% in March.
FocusEconomics Consensus Forecast panellists see industrial production contracting 2.1% in 2013, which is unchanged from last month's forecast. For 2014, panellists expect industrial output to expand 1.5%.