S&P 500 may face selling pressure as systematic funds reach full exposure
Investing.com -- In December, industrial production in the Euro zone experienced a greater contraction than anticipated, suggesting the sector’s two-year recession is far from over, according to data released on Thursday.
This comes despite some signs of stabilization in sentiment and order figures.
Data from Eurostat showed that output in the 20 countries using the euro fell by 1.1% from November.
This underperformed the predicted 0.6% drop. Industrial giants Germany and Italy saw their production shrink by 2.9% and 3.1% respectively.
The industry has been a burden on Europe for several years. Factors such as costly energy, weak demand from China, growing global competition, and outdated models in the automotive sector have all put pressure on orders.
In comparison to the same month in the previous year, the output had declined by 2.0%. This decrease was heavily influenced by a substantial 8.0% drop in the production of capital goods.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.