German industrial production falls less than expected

Industrial output in Germany fell in March, according to data released on Wednesday by the Federal Statistical Office, Destatis, though it wasn't as big a drop as expected after figures for the previous month were revised lower.

Industrial production fell by 0.4% over the month, following a revised 1.7% increase in February, which was changed from the initial estimate of +2.1%.

Nevertheless, economists were expecting a drop of 0.6% in March.

However, the three-month moving average – which smoothes out monthly volatility – was 1% higher in the January to March period than the previous three months.

Production in the energy sectors fell by 4.2% in March, declined 0.4% in industry, and dropped 1.4% in consumer goods and 0.6% in intermediate goods. Construction production grew by 1.0%.