- European Central Bank
Following a rebound in July, Italy's industrial production output slid into negative territory on a monthly basis in August. Industrial production in the Euro zone's third biggest economy declined 0.5% on the month in seasonally adjusted terms. Measured on an annual basis, Italy's industrial production climbed 1% in August, Istat reported. The International Monetary Fund predicted the Italian economy to expand 0.8% this year, with growth accelerating to 1.3% in 2016, compared to the previous forecasts of 0.7% and 1.2%, respectively.
Meanwhile, industrial production in France was much stronger in August, the INSEE reported. Measured on a monthly basis, French industrial output rose 1.6%, following a negative 1.1% reading in July. In annual terms, industrial output rose 1.6% in the reported period, compared with the revised 0.9% decline in July and analysts' expectations of a 0.2% gain. The Bank of France said that the Euro zone's second biggest economy grew less than previously estimated in the third quarter and revised to the downwards its GDP outlook. The central bank said the economy expanded 0.2% in the third quarter, lower than the previous estimate of the 0.3% growth. For the final three months of the year, the bank expects an expansion of 0.4% and 1.1% for the full year.
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