Official figures show that industrial production across the 19-country eurozone fell sharply during July, the latest signal that economic growth across the bloc faltered at the start of the third quarter.
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Eurostat said Wednesday that industrial production, which includes everything from manufactured goods to mineral extraction, declined by a monthly rate of 0.8 percent in July. That was double the anticipated decline in financial markets and suggests that the eurozone economy has started the third quarter on a subdued note.
Moritz Degler, an economist at Oxford Economics, said trade war fears have taken their toll on the eurozone’s export-reliant industrial sector. Still, with the domestic economy “in solid shape,” Degler said eurozone growth in the third quarter will remain stable at a quarterly rate of 0.4 percent.
