Euro Area: Industrial output declines at a softer rate, misses market expectations in June
Industrial output decreased 0.1% in month-on-month seasonally adjusted terms in June, which was a less pronounced drop than May’s 0.9% decrease. That said, June’s reading fell short of market expectations of a 0.5% expansion. Looking at the details of the release, June’s improvement was broad-based, with the intermediate and capital goods output rebounding plus the energy and durable consumer goods sectors gaining steam. Less positively, non-durable consumer goods production swung into contraction in June.
On an annual basis, factory output fell at a sharper rate of 3.9% in June (May: -3.3% yoy). Accordingly, the trend pointed down, with the annual average variation of industrial production dipping to minus 4.2% in June from May’s minus 4.0%.