(RTTNews) - Friday, the major news on the last working day of the week showed that the German industrial production declined more than expected in July, adding to existing fears of possible recession.

Eurozone

The Federal Ministry of Economics and Technology said German industrial production declined 1.8% in July from the previous month, severe than the 0.5% fall expected by economists. In June, industrial output had grown 0.1%, downwardly revised from the 0.2% estimated initially.

The ministry reported that industrial production grew 2.6% year-on-year, following a 4% rise in June. On a working day adjusted basis, production was down 0.6%, while economists had predicted a 0.9% rise.

The Spanish industrial production continued to decline for the third straight month in July. The Spanish Statistical Office, INE reported that industrial production adjusted for calendar effects declined 4.4% year-on-year in July, slower than June’s 9.2% fall, revised from a 9% decrease reported earlier. Economists had expected output to decrease 6.5% for July.

The Italian trade balance showed a deficit as exports declined in June from the prior year, official data showed. The trade deficit totaled EUR1.03 billion in June compared with a surplus of EUR395 million in the prior year, the statistical office ISTAT reported. Exports in June declined 3.8%, while imports grew 0.6% on an annual basis.

The National Statistical Office of Malta announced that the Gross Domestic Product, or GDP, increased 3.2% year-on-year in real terms basis in the second quarter, smaller than 3.5% recorded in the first quarter. At the same period, the GDP at market prices rose 6.2%.

The Organization for Economic Co-operation and Development, or OECD, said in a report that its composite leading indicator, or CLI, for the OECD Area declined to 96.2 in July from 96.9 recorded in June. The CLI for the Eurozone was down to 94 from 95.1

Rest of Europe

The results of the Labor Force Survey showed that statistical agency showed that the jobless rate declined to 4.5% in the second quarter from 4.9% recorded in the first quarter. A year ago, the jobless rate was 4.1%. The number of unemployed stood at 72,500 n the second quarter, down from 77,500 in the first quarter. Lithuania’s statistical agency reported that industrial producer prices increased 0.1% month-on-month in August.

A report by Statistics Norway said industrial output increased in July due to rise in output from the manufacturing, and oil and gas extraction sectors. Industrial output grew a seasonally adjusted 1.2% in the month compared with 0.7% decline in June.

The Statistics Norway also said industrial turnover increased 26.2% year-over-year in July, faster than the 24.3% recorded in June.

The Romanian industrial production rose at a pace of 5.1% annually in July, up from 4% recorded in June, the National Institute of Statistics said.

Hungary’s annual economic growth for the second quarter was downwardly revised to 2% from 2.2%, a latest report issued by the Hungarian Central Statistical Office showed. However, economic growth stood above a 1.7% rise seen in the first quarter.

The Hungarian statistical office announced that the country’s industrial production increased 0.6% year-over-year in July, faster than the 0.3% recorded in June. At the same time, industrial production grew working day adjusted 1.8%. Economists were looking for a 0.3% rise for July. The decline in industrial production in June was the first since October 2002, due to the Western European recession and the strong Hungarian forint.

The Statistics Estonia said enterprises total profit stood at EEK11.5 billion in the second quarter, down EEK3 billion kroons recorded in the year-ago period. The statistical agency attributed the weakness to production inputs appreciation, recession and cautious consumers. The statistical office also announced that the consumer price index, or CPI increased 11% year-over-year in August, after rising 11.1% in July. Inflation was the lowest this year at 10.9% in March and the highest at 11.4% in June, the statistical office said.

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