Eurozone industrial production slows down as expected in September

Industrial production in the Eurozone slowed down in September, data released on Wednesday showed.

According to figures released by the European Union’s statistics office, production in the area declined 0.5% last month, in line with expectations but down from the upwardly revised 0.8% climb in the previous month.

On a year-on-year basis, production rose 0.9% compared with analysts’ expectations of a 1.8% increase and down from the upwardly revised 1.7% hike registered in the previous month.

“With China’s economy giving off renewed signals of distress and the Volkswagen scandal hitting business hard in Germany, today’s announcement of disappointing industrial production data will come as no surprise," said Dennis de Jong, managing director at UFX.com.

“These figures may only be the tip of the iceberg. It’s going to be a very tough fourth quarter for European Central Bank president Mario Draghi who, while remaining resolute that his quantitative easing programme is doing the trick within, will know that the health of the Eurozone also relies on factors that are out of his control.

“Draghi can still hold hope of a silver lining to the week, with Friday’s monthly inflation figures set to tick upwards.”