Euro-zone industrial output down 17% in May

Industrial output in the 16 nations that use the euro sank 17% in May from 2008, the EU statistics agency said, a somewhat milder drop than in the earlier 2 mos. Demand for European goods at home & abroad slid in the downturn. Mfrs. expect orders to improve slightly in coming months as companies restock after a recent spending freeze. Eurostat said industrial output rose 0.5% in May compared to April, when it fell 0.8%. From 2008, industrial production is still slumping, after a record 21.6% fall in April & 19.3% in March. It said output fell in all euro nations where it had data, with Finland booking the sharpest drop at 23.2%. Components for industry fell 23.4% from May 2008, durable consumer goods -- like washing machines & TVs -- sld 22.1%. Nondurable consumer goods suffered far less, down 2.2%. Europe's export-driven economy relies heavily on industrial output & its recovery, whenever it comes, will provide a clear indication the worst of the recession is over.