Fall in industrial confidence

Industrial confidence deteriorated last month compared to that registered in October, according to the Federation of Industry's latest industry survey.

This was mainly due to a further decline in overall and export order books and a larger number of companies registering "above normal" stocks of finished products.

The survey was carried out between November 10 and 27. Two hundred and two manufacturers, employing about 13,600 employees, replied.

Production expectations last month remained in positive territory but weaker than in October.

The FOI said a breakdown by industrial groupings shows that last month the consumer goods sector and the intermediate goods sector registered an overall worsening position compared to the previous month. On the other hand, the overall position of the investment goods sector improved.

In terms of price expectations, there were more manufacturers last month predicting a fall in selling prices than in October. This development is mainly attributed to negative price expectations in the intermediate goods sector that offset an improvement in selling price expectations for the consumer goods sector. The balance on selling price expectations for the investment goods sector registered no change throughout the same period.

With regard to employment expectations, there were fewer manufacturing firms last month expecting to decrease their total employment over the following quarter when compared to October survey results.

"This reflects an improvement in employment expectations for the intermediate goods sector, which offset deterioration in employment expectations for the consumer goods sector and the investment goods sector."