Industrial production data released by the EU’s statistics office showed a 0.8 percent rise in April from March for euro-zone countries, nearly double economists' forecasts and delivering the 11th consecutive month of increases.
Production of intermediate goods rose 2.2 percent in April from March, when it gained 1.1 percent, with output of capital goods rising by 1.1 percent in April.
However economists told the WSJ that the euro-zone’s industrial-production data masked some worrying trends.
“Production continues to be geared toward capital equipment, or big-ticket items, suggesting the euro zone is still getting its growth from temporary filling of depleted store shelves, investment spending related to exports and overseas demand," the WSJ said.
"That helps out powerhouses such as Germany, but is less beneficial to Greece, Portugal and Spain, which aren't as competitive in export markets.”
Germany is the region's largest economy accounting for approximately 30 percent of euro-zone GDP.
Source: Wall Street Journal
