Factory production in Germany, Europe's largest economy, stagnated in July after falling unexpectedly the month before.
The Federal Statistical Office said Thursday that increases in the building and industrial sectors offset a drop in energy production for overall growth to remain flat compared with June, according to figures adjusted for seasonal and calendar factors.
The Economy Ministry noted factory production in the first half of 2017 had "developed very dynamically," in February surpassing pre-2008 financial crisis highs and setting a new record in May.
The ministry says after a slower summer, "the indicators speak for a resumption of positive industrial growth."
ING economist Carsten Brzeski agreed, saying the short term future still appears "rosy" as "low inventories and filled orders bode well for industrial production in the coming months."