Germany industrial production dropped -1.5% mom in June, (price, seasonally and calendar adjusted), worse than expectation of -0.5 mom. Production in industry excluding energy and construction was down by -1.8%. Within industry, the production of intermediate goods decreased by -2.0% and the production of capital goods by -1.8%. The production of consumer goods showed a decrease by -1.4%. Outside industry, energy production was down by -1.6% in June 2019 and the production in construction increased by 0.3%.
German 10-year bund yield drops to new record low of -0.561 today. Euro also softens mildly, but downside is so far limited.
