Industrial production declines for the seventh month in a row in Germany and the euro is trying to consolidate today
Today's market analysis on behalf of Samer Hasn Market Analyst and part of the Research Team at XS.com
January 9, 2024 (Investorideas.com Newswire) Euro is still moving almost sideways since the end of last week, trading on either side of the 1.095 level. Today, it was able to record some slight gains of about 0.07%.
The euro's gains today came despite weak industrial production data from Germany which created some pressure for a short period of time initially.
Today witnessed industrial production figures in Germany for last November, which confirmed the continued weakness in manufacturing activities. On a monthly basis, industry output contracted by 0.7%, which represented the seventh consecutive month of contraction and was contrary to expectations for a growth of 0.2%. On an annual basis, outputs contracted by 4.87%, which represents the sixth consecutive month of contraction as well.
The largest decline in industrial production came from a 2.9% decline in construction output on a monthly basis, in addition to a 0.7% and 0.5% contraction in production of capital goods and intermediate goods, respectively. As for energy-intensive industries, output recorded a growth of 3.1% in their outputs on a monthly basis, but they were 4% below the levels of the same period of the previous year. Excluding energy and construction items, industrial production contracted by 0.5% on a monthly basis.
This continuing trend of declining industrial production may be worrying if it continues, which comes in conjunction with the political and social turmoil in the largest economy of the Eurozone. This continued decline may also contribute to weakening the labor market, which is still resilient and constitutes a solid support ground for the economy.
This news is published on the Investorideas.com Newswire - a global digital news source for investors and business leaders
Disclaimer/Disclosure: Investorideas.com is a digital publisher of third party sourced news, articles and equity research as well as creates original content, including video, interviews and articles. Original content created by investorideas is protected by copyright laws other than syndication rights. Our site does not make recommendations for purchases or sale of stocks, services or products. Nothing on our sites should be construed as an offer or solicitation to buy or sell products or securities. All investing involves risk and possible losses. This site is currently compensated for news publication and distribution, social media and marketing, content creation and more. Disclosure is posted for each compensated news release, content published /created if required but otherwise the news was not compensated for and was published for the sole interest of our readers and followers. Contact management and IR of each company directly regarding specific questions.
More disclaimer info: https://www.investorideas.com/About/Disclaimer.asp Learn more about publishing your news release and our other news services on the Investorideas.com newswire https://www.investorideas.com/News-Upload/