Euro zone industrial output rebounded with a twice-as-strong as expected monthly rise in April thanks to energy and non-durable goods production, official data showed on Thursday, pointing to an acceleration of economic growth in the second quarter.
Output in the 18 countries sharing the euro rose 0.8 percent on the month in April after a downwardly revised -0.4 percent drop in March. Economists had expected a 0.4 percent rise.
Compared with the same period of 2013, production grew by a much stronger than expected 1.4 percent, against an upwardly revised 0.2 percent rise in March, previously reported as a 0.1 percent drop. Economists had expected 0.9 percent annual growth.
“Nice rebound,” said Carsten Brzeski, an economist at ING. “Combined with still solid confidence indicators, today’s industrial production data reinforces our view of a growth acceleration in the second quarter,” he said.
The data follows strong euro zone retail sales numbers and a rebound in German industrial orders in April.
“Q2 is shaping up stronger than Q1,” said Evelyn Herrmann, an European economist at BNP Paribas. “We forecast GDP to grow 0.4 percent q/q in Q2, following the disappointingly soft 0.2 percent q/q expansion in Q1.”
