Eurozone Industrial Output Rises by 0.2 Percent in February

Industrial output in the 18-nation eurozone grew by 0.2% in February, in line with analysts’ expectations.

Growth was driven by a 0.6% increase in intermediate goods and a 0.5% increase in non-durable consumer goods.

Electronic components manufacturing saw the strongest growth in eurozone intermediate goods output, with an 11.5% increase, Eurostat said.

Energy output decreased by 1.7% overall, with a fall of 11% in coal and lignite mining.

There was a 1.2% drop in durable consumer goods.

So-called intermediate goods, including man-made fibres, pesticides, chemical products and animal feeds, all contributed to the growth in eurozone industrial output.

Falls in energy industry production, including a monthly drop of 8.4% in petrol and natural gas extraction, did not dent overall industrial growth.

“A modest increase in industrial production in February supports [the] belief that eurozone economic recovery is continuing to gradually firm,” said IHS Global Insight’s chief UK and European economist, Howard Archer.

“It looks likely that industrial production saw reasonable if unspectacular growth across the eurozone in the first quarter and made a positive contribution to GDP growth,” he added.

January’s figures of a 0.2% reduction in production were revised to show a flat reading of 0% growth after new figures were taken into account, a Eurostat spokeswoman said.

Eurozone growth saw a revised 1.6% growth compared with the same period in 2013.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza