* Industry shows strongest monthly rise in 5 months
* April monthly, annual rises beat market expectations
* Portugal sees record monthly growth
* Data add to positive signs economy keeps growing
(Adds analysts, details)
By Martin Santa
BRUSSELS, June 12 Euro zone industrial output
rebounded with a twice-as-strong as expected monthly rise in
April thanks to energy and non-durable goods production,
official data showed on Thursday, pointing to an acceleration of
economic growth in the second quarter.
Output in the 18 countries sharing the euro rose 0.8 percent
on the month in April after a downwardly revised -0.4 percent
drop in March. Economists had expected a 0.4 percent rise.
Compared with the same period of 2013, production grew by a
much stronger than expected 1.4 percent, against an upwardly
revised 0.2 percent rise in March, previously reported as a 0.1
percent drop. Economists had expected 0.9 percent annual growth.
"Nice rebound," said Carsten Brzeski, an economist at ING.
"Combined with still solid confidence indicators, today's
industrial production data reinforces our view of a growth
acceleration in the second quarter," he said.
The data follows strong euro zone retail sales numbers and a
rebound in German industrial orders in April.
"Q2 is shaping up stronger than Q1," said Evelyn Herrmann,
an European economist at BNP Paribas. "We forecast GDP to grow
0.4 percent q/q in Q2, following the disappointingly soft 0.2
percent q/q expansion in Q1."
The monthly production rise, strongest in five months, was
mainly driven by a 2.5 percent rise in energy output, followed
by a 2.1 percent increase in non-durable consumer goods output.
Production of capital goods was the only sector showing a
monthly decline, with a 0.1 percent drop.
Industrial production in Portugal, which exited an
international bailout in May and saw strong investor appetite
for its bonds this week, had production rising by a record 6.7
percent on the month in April.
Spain had monthly production rising at its fastest pace
since August 2012 and Ireland's industry recorded its strongest
annual rise in April since November 2010, according to Eurostat.
Finland and Malta were the only two euro zone countries with
production falling on the month in April, while the bloc's
second and third largest economies - France and Italy, returned
to monthly expansion in April.
Output in Germany, the euro zone's growth engine, edged up
by a smaller-than-expected 0.2 percent on the month as the
spring rebound turned out weaker than usual due to a mild
winter, German economy ministry data showed.
Outside the euro zone, Britain enjoyed its strongest annual
growth in over three years in April, showing that the country's
economic expansion was becoming less reliant on consumer demand
and the recovery was broadening.
The 9.5 trillion euro zone economy surprised with weaker
than expected growth at the beginning of this year as strong
growth in Germany was not enough to offset contractions in the
Netherlands, Italy and stagnating French economy.
for April TABLE pls see: ...
for more information on indicators pls see: here
(Reporting by Martin Santa)