German industrial production plunges in October

German industrial production unexpectedly fell back in October, official data showed Friday, adding to a gloomy outlook for Europe’s powerhouse economy as the slump in the country’s manufacturing sector shows no signs of abating.

Factory output tumbled by 1.7 percent month-on-month, federal statistics authority Destatis said, compared with a 0.6 percent drop in September.

Analysts surveyed by Factset had predicted a slight jump in industrial production.

The picture was even bleaker in a year-on-year comparison with output down 5.3 percent on October 2018 --  “which is the steepest year-on-year decline since 2009,” said Capital Economics analyst Andrew Kenningham.

The disappointing figures come a day after Destatis revealed that new industrial orders also fell in October, the latest sign of order books shrinking at a time of weaker global growth.