Press Release: November 2008: Business Climate Indicator for the euro area decreases further in November

The Business Climate Indicator (BCI) for the euro area fell more markedly this month than last, and now stands close to values last observed in 1993. The continued steep decline of the indicator signals a deteriorating trend in year-on-year industrial production growth, which is likely to continue to be negative even in the fourth quarter. All five underlying components of the BCI deteriorated. Managers reported a sharp fall in the production trend observed in recent months while stocks of finished goods increased. Their assessment of the current overall order book and export order book is increasingly negative. Looking ahead, production expectations in the euro area worsened notably compared to last month.