- European Parliament
Industrial production in France, the Euro zone's second biggest economy, fell more than expected in October, the National Institute of Statistics and Economic Studies reported. French industrial output dropped 0.8% on a monthly basis, after being flat in the preceding month, while analysts had expected a 0.2% growth for the reported month. On a year-to-year basis, industrial production also declined 1.0% in the month under review, after the 0.3% drop in September. Manufacturing production declined 0.2%, after adding 0.3% a month earlier, while markets had forecast the gauge to come in unchanged. Manufacturing activity in France fell further in November, Markit's survey revealed last week. The final manufacturing PMI fell slightly lower to 48.4 in November, from 48.5 seen a month earlier, albeit overshooting expectations of 47.6. The sector has now been in the red territory, below the 50-mark, since May.
While ECB President Mario Draghi tries to support the fragile Euro zone's economy by pumping as much as 1 trillion euros of liquidity, Denmark stands ready to defend its 30-year old currency regime. Should ECB stimulus measures debase the Euro, Deputy Governor Per Callesen says there is no limit on how far Denmark, where the benchmark interest rate is already below zero, is ready to go to defend the Krone's peg to Europe's single currency.
© Dukascopy Bank SA