BRATISLAVA, December 27, (WEBNOVINY) — The sentiment in the Slovak industry improved modestly again in December. The Statistics Office reported that the confidence indicator grew from November’s zero to 0.3 points in the twelfth month. It is the highest level since May of this year when confidence in industry slumped from 8.3 points to minus 5.3 points in June. However, the indicator still lags 2.7 points behind the long-term average. The statistics authority sees behind the rise mainly the expected production growth in the next three months.
Industrial output however showed a declining trend compared with the previous month when the outlook slumped 3 points to 9 points and remains 9 points below the long-term average. Respondents, particularly in chemical industry and production of metal and metallic structures and wood and paper products spoke about a fall. The most considerable output expansion was recorded in production of computers, electronic and optical devices and means of transport.
Expected demand for industrial output in December increased one point to minus 22 points as the result of an increased share of businesses with stabilized development. Anticipated downturn is significant in production of metals and metallic structures, chemical industry, computers and electronic and optical devices. Over 75 percent of respondents considered demand appropriate.
Expected development of foreign demand was just the opposite as the outlook dropped 5 points. Production of metals and metallic structures, chemical industry and production of computers and electronic and optical devices anticipated decrease. Producers in no branch however expect growth. Seventy-three percent of respondents believe the level of foreign demand is sufficient.
Expectations concerning inventory of finished products in industry went up 2 points from November, particularly among electronic equipment, machinery and equipment and foodstuffs. Inventories slumped most significantly in mining and chemical industries and in production of transportation means. A drop is expected with production of computers, electronic and optical devices, electronic equipment and other non-metallic products. Eighty-four percent of respondents consider the level of inventory to be appropriate.
Expectations regarding industrial production in the coming three months increased 2 points for the third month in the row to 18 points. Outlook for expected price development of industrial products increased 5 points to 8 points. Employment outlook came up 1 point. Production of transport means and other non-metallic products anticipates the most significant increase in the number of employees.
SITA
