Eurozone Industrial Output Surprises in June

The eurozone witnessed an unexpected increase in industrial output during June, despite sluggish production in the bloc’s major economies. According to data released by the European Union statistics body Eurostat on Wednesday, total production rose by 0.5% compared to the previous month. This defied economists’ expectations of a 0.6% decline, as reported by The Wall Street Journal. Furthermore, while production was down 1.2% compared to the same month last year, this result was better than the anticipated 4.2% slump.

Revised data revealed that May’s output was flat, contrary to the previously estimated rise of 0.2%. Although energy production experienced growth in June, other sectors such as consumer goods and capital goods suffered a decline.

Notably, the increase in total production occurred despite falling output in the largest eurozone economies – France and Germany – as well as Spain, the fourth-largest economy. However, this was counterbalanced by a significant 13% rise in production in Ireland. It is worth mentioning that Ireland is reviewing its methodology for assessing changes in output, which contributed to this boost, according to Eurostat.

Several member states, including Croatia and Denmark, also recorded notable increases in production during June. On the other hand, countries like Belgium, Sweden, and Romania experienced some of the largest decreases.

Stay updated with Joshua Kirby’s latest insights on economic developments.