Italian Industrial Output Falls With Further Decline Predictedby
Country's economic expansion slowed in second, third quarters
Companies' growth outlook worsened, separate survey showed
Italian industrial production unexpectedly declined in November, prompting concerns the recovery in the euro region’s third-biggest economy may be running out of steam.
Output fell 0.5 percent from the previous month, which registered a 0.5 percent increase, national statistics agency Istat said in a report issued Thursday in Rome. The median of 13 estimates in a Bloomberg survey called for a 0.2 percent increase in November. On an annual, work-day-adjusted basis, production rose 0.9 percent, Istat said.
Italy’s gross domestic product expanded in the first three quarters of 2015 albeit at a progressively slower pace. The growth followed the country’s longest recession since World War II and helped push down unemployment rate. Still, slower demand from emerging markets may now be weighing on the recovery and probably caused a further decline in December’s production, employers’ lobby Confindustria said Jan. 4.
Industrial production in the euro region fell 0.7 percent in November from the month before, the European Union’s statistics agency said on Wednesday.
A quarterly survey on growth expectations of Italian firms published by the Bank of Italy this week highlighted a rising pessimism among executives. The number of businesses expecting an improvement in the general economic situation, investment and foreign demand for their products fell from September, according to the poll of 977 companies conducted in the first half of December.