Industrial production expanded 0.6% in April, topping the median of market estimates and our forecast (0.1% and 0.0%, respectively).
The positive surprise was magnified by the upward revision in the previous month’s headline reading by 0.24 p.p.
However, the latest increase is not enough to offset the negative statistical carryover created by the drop in industrial production in March.
The overall situation of industrial production has been marked by stagnation and volatility. Broad-based advance is supported by the recovery of segments that fell sharply in March Industrial production expanded 0.6% mom/sa in April, above our forecast and the median of market estimates (0.0% and 0.1%, respectively). Compared to April 2016, the indicator declined 4.5%, influenced by fewer working days.
The March reading was revised upward by 0.24 p.p., so that, considering the level, the surprise in the April result totals approximately 0.8 p.p. (the sum of above-expectation mom/sa growth and the March revision).