Industrial Production in Germany unexpectedly dropped in April, the official data showed on Tuesday, suggesting that the recovery in the manufacturing sector is faltering.
Eurozone’s economic powerhouse’s industrial output fell by 1.0% MoM, the federal statistics authority Destatis said in figures adjusted for seasonal and calendar effects, vs. a 0.7% rise expected and 2.2% last.
On an annualized basis, the German industrial production jumped by 26.4% in April versus a 4.8% growth reported in March.
FX implications
The shared currency remains unfazed by mixed German industrial figures.
At the time of writing, EUR/USD is testing lows near 1.2175, down 0.08% on the day.
About German Industrial Production
The Industrial Production released by the Statistisches Bundesamt Deutschland measures outputs of the German factories and mines. Changes in industrial production are widely followed as a major indicator of strength in the manufacturing sector. A high reading is seen as positive (or bullish) for the EUR, whereas a low reading is seen as negative (or bearish).
