BOFIT Viikkokatsaus / BOFIT Weekly Review 2016/42
September manufacturing witnessed a stronger contraction, down 1.6 % y-o-y. Although a turnaround in manufacturing has been expected for months, any signs of recovery have remained faint. The differences across branches, however, were significant. Production of foodstuffs and chemical industry products showed a distinct rise, while falling production continued in production of many petrochemicals and construction materials.
Extractive industry output fell slightly from August to September, but was still up 2.1 % y-o-y. Growth has however, slowed down from the beginning of the year when crude oil production increased strongly.
The contraction in retail sales continued in September, but at a more moderate pace than earlier this year. The volume of retail sales was down 3.4 % y-o-y. Retail sales were supported, however, by a halt in the contraction in private sector real wages. Real disposable incomes overall contracted by nearly 3 % y-o-y.