Weak industry figures spark Eurozone woe

 
Tim Wallace
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INDUSTRIAL output fell again in March as the Eurozone economies showed that they were not yet into recovery mode.

Production dipped by 0.3 per cent in March, and output was 0.1 per cent lower than in the same month of last year.

“The production figures confirmed that industry has made a weak start to 2014, underscoring the fragility of the recovery both in the sector and in the Eurozone economy as a whole,” said Jessica Hinds from Capital Economics.

“No sector saw a monthly increase in production in March and the weakness of consumer goods production suggests that any revival in consumer spending is likely to be very sluggish.”

Meanwhile, both France and Germany reported a small increase in consumer price inflation, a factor counting against an interest rate cut by the European Central Bank.

Prices in France increased by 0.8 per cent in the year to April, up from 0.6 per cent in March.

In Germany, inflation edged up a touch from one per cent in the year to March to 1.3 per cent in the year to April.