Eurozone industrial production declines more than expected in June

Industrial production in the Eurozone declined more than analysts had expected in June, official figures released on Wednesday showed.

Industrial output in the area fell 0.4% compared with an upwardly revised 0.2% decline in the previous month and expectations of a 0.1% drop.

The second three months of the year have been particularly testing for the Eurozone, with the economic crisis in Greece threatening to destabilise the whole of the economic area.

However, after over three months of negotiations, and a referendum on bailout terms, Greece finally reached an agreement with its creditors to unlock funds for a third bailout programme.

“Just a couple of months ago, when Greece was on the brink of meltdown, ECB President Mario Draghi would have grabbed today’s industrial production figures with both hands," said Dennis de Jong, managing director at UFX.com.

"Although a modest set of midpoint data is not anything for analysts, nor Draghi, to be getting excited about, Eurozone chiefs can breathe easy for a little while and refocus on slow and steady expansion.

“With Greece agreeing a bailout in principle last night it finally it looks as though the nation’s immediate future in the Eurozone is safe.”