An array of data has pointed to worrying signs of a slowdown in the euro zone with further signs last week that Europe's largest economy Germany is weakening. And more bad news could be on the way.
Euro zone industrial production data for February is due Friday and economists polled by Reuters expect it to have declined by 0.6 percent month-on-month.
"National data for February that have already been released show declines in total industrial production of 0.4 percent in Germany, 1.1 percent in Spain and 0.1 percent in Ireland," Jack Allen, senior Europe economist at Capital Economics said in a note Friday, after what he said was "another set of weak economic data in the euro-zone" with specific reference to Germany.
Data released by German statistics office Destatis Friday showed that German industrial production (excluding energy and construction) fell 0.2 percent in February on the previous month. The day before, data showed new manufacturing orders fell 4.2 percent from January with declines seen both at a domestic and foreign level.
The data came after IHS Markit's purchasing manager's index (PMI) released on April 1 showed the manufacturing sector figure in Germany for March had fallen to an 80-month low (of 44.1). A level under 50 indicates contraction.