Eurozone industrial production expanded more than expected in July, according initial estimates published Monday by Eurostat, reversing two consecutive monthly contractions after solid gains on the currency area periphery offset weaker performance in France and Germany.
Industrial output in July advanced by 0.6% on the month, Eurostat said, firmly ahead of the MNI median forecast of a +0.3% gain. When compared to July 2014, production rose by +1.9%, Eurostat said, significantly higher than the 0.8% figure anticipated by analysts polled by MNI.
Eurostat also said it had revised its final month-on-month tally for June to -0.3% from an initial estimate of -0.4%, taking that month’s annual gain to 1.5% (from 1.2%)
Energy production led the monthly increase, Eurostat said, rising by 3.0% from the previous month, followed by capital goods (+1.4%) and durable consumer goods (+0.6%). Intermediate and non-durable goods production both fell by -0.6%, Eurostat said.
Germany’s industrial output increased in July but the advance was below MNI’s median forecast as production rose by 0.7% on the month against an expectation of 1.2%. In France, industrial production fell unexpectedly in July, dropping by 0.8%, much weaker than the consensus forecast of a 0.3% gain while Italy recorded a surprise 1.1% monthly advance.
On a country-by-country basis, the biggest increases were seen in Ireland (+7.2%), Greece (+4.3%) and Latvia (+2.8%) while Malta (-1.8%) led to the downside.