The Germany’s industrial production unexpectedly increased in Septemberaccording to official data on Monday, suggesting that the manufacturing sector is emerging from the crisis.
The industrial production of the economic powerhouse of the euro zone increased by 0.6% month-on-month after two consecutive months of increases, as reported by the federal statistics authority Destatis in figures adjusted for seasonal and calendar effects, compared to the -0.8% expected and the – 1.2% earlier.
In annualized terms, German industrial production grew by 2.6% in September, compared to the previous 1.6% increase and the 0.5% expected by the consensus. This is the biggest rise seen since February.
Effects on the foreign exchange market
The shared currency remains unimpressed by upbeat German industrial figures. At the time of writing, the EUR/USD pair is trading around 0.9945, down 0.20% on the day.
About German Industrial Production
Industrial Production published by the Statistisches Bundesamt Deutschland measures the production of German factories and mines. The evolution of industrial production is an important indicator of the strength of the manufacturing sector. A high reading is considered positive (or bullish) for the euro, while a low reading is considered negative (or bearish).
Source: Fx Street