Euro Area’s industrial output shrinks in July

Industrial production in the Euro Area was reported to have shrunk 0.3% month-over-month in July, following a flat reading in June.

The latest result came in line with market consensus.

In July, output dropped for:

– intermediate goods (-1.3% after a 0.6% rise in June);
– capital goods (-1.6% after a 1% surge in June);
– durable consumer goods (-2.8% after a 3.8% increase in June).

On the other hand, output growth slowed for energy, up 0.3% in July after a 1.7% surge in June.

And, production rebounded for non-durable consumer goods, up 1.8% in July after a 2.3% slump in June.

Among major economies in the bloc, industrial production dropped the most in Germany, by 3%, followed by Italy (-0.9%), Spain (-0.7%) and France (-0.5%).

The EUR/GBP currency pair settled 0.08% lower at 0.8430 on Friday. For the week, the minor currency pair remained almost without change.