Industrial production (September)
Flash estimate: -11.9% y/y
Consensus: -12% y/y
sales decreased by 16%, export sales by 13.4%, new orders by 13.8% y/y. Data from the Czech industry supports a view of improving economic conditions. They are actually worse than in August, but the reason lies in different number of working days and different base in the same months of the previous year.
New orders as well as PMI figures suggest further improvement in moths ahead, however the road to full recovery can be a somewhat bumpy after the end of car scrap subsidies.
This outlook and CZK correction lend support to the idea that the CNB can leave interest unchanged at its meeting next week.