- Banque de France
Italy's industrial output unexpectedly declined in April, suggesting that economic growth in the Euro zone's third-biggest economy remains fragile since exiting its worst post-war recession. Industrial output slipped 0.3% on the month in seasonally-adjusted terms, according to Istat. The decrease was led by a 1.3% drop in energy and a 1.2% decrease in consumer goods. Measured on an annual basis, Italian industrial production rose 0.1% in April. Italy's first-quarter gross domestic product rose 0.3% on the quarter and 0.1% on the year, confirming the economy rebounded from the recession. The government expects GDP growth of 0.7% in 2015 after three straight years of contraction. Recently, government officials have been hinting that GDP for the year could possibly surpass that estimate.
Meanwhile, industrial production of the Euro zone's second biggest economy—France, also declined in the reported month. Industrial output in the Euro zone's second largest economy fell 0.9% in April from March. Industrial production declined as auto sector output fell 3.3% and coking and refining output slumped nearly 11% in April from March, Insee said. In annual terms, industrial output dropped 0.1% in the reported period compared with the revised 1.8% rise in March and analysts' expectations of a 1.0% gain. The Bank of France said in its May survey that the French economy will grow only 0.3% in the June quarter after the 0.6% growth in the first quarter.
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