- Carsten Brzeski, an economist at ING
German industrial output dropped unexpectedly in November, while trade surplus came in below economists' forecasts for the reported month, adding to signs that the Euro zone's powerhouse is struggling to gather momentum following a sluggish third quarter. Total seasonally adjusted industrial production declined 0.3% in November from the previous month, falling short of a median forecast rise of 0.5%. However, the economics ministry expected industrial activity to gather speed over the coming months. Weak demand from developing economies has undermined German industrial activity. Industrial output climbed just 0.1% from November 2014, in calendar-adjusted terms. In a separate report the Federal Statistical Office said that Germany's adjusted trade surplus shrank to 19.7 billion euros in November from 20.6 billion euros in October. A 0.4% monthly increase in exports was outstripped by a 1.6% advance in imports.
Meanwhile, industrial output in the Euro zone's second biggest economy also decreased in November. French industrial output fell 0.9% in the reported month, following an upwardly revised 0.7% growth in October. Despite emerging markets slowdown France's government expects the economy to have grown at least 1.0% in 2015.
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