Brazil: Industrial output falls in December, rounding out worst performance in three years in 2019
Industrial production slipped 0.7% in month-on-month seasonally-adjusted terms in December, following the 1.7% decline in November (previously reported: -1.2% month-on-month). The print missed market expectations of a softer 0.5% dip.
Capital goods output fell at the sharpest rate in over a year-and-a-half and production of consumers goods also declined in December, albeit at a softer pace than in November. On the bright side, intermediate goods output rebounded slightly in the month. Among sectors, industrial output fell in 17 of the 26 surveyed, with the largest drops recorded in the automotive and machinery and equipment sectors.
On an annual basis, industrial production dropped 1.2% in December, which was less steep than the 1.7% decline registered in November. All told, average industrial output fell 1.1% in 2019 compared to the 1.0% rise registered in 2018 and marked the worst result since 2016.