German industrial production registers solid start to second quarter

German industries roared back in April to beat analyst's estimates and slashing expectations of slowdown in Europe's largest economy.

• In April 2015, production in industry was up by 0.9% from the previous month on a price, seasonally and working day adjusted basis according to provisional data of the Federal Statistical Office.
  
  
• In March production shrank by -0.4% from February.
  
  
• In April 2015, production in industry excluding energy and construction was up by 0.7%.
  
  
• The production of capital goods increased by 1.5% and the production of intermediate goods by 0.7%.
  
  
• Decrease of production was recorded for consumer goods (0.9%).
  
  
• Energy production was up by 1.4% in April 2015, while the production in construction increased by 1.3%.

Germany continues to pose that its economy remains in good shape and is likely to improve further. Today's headline reading, stands best since December 2014, when production grew by 1%.

• German seasonally adjusted trade balance remains at € 22.3 billion in April, with exports growing 1.9% m/m while imports dropped by 1.3%.

German growth engine is likely to benefit the stock market the most, as European Central Bank (ECB) keeps pumping money at € 60 billion/month.

DAX is currently trading at 11197, remains fundamental long term buy. Key support is at 10500, 11000. Initial target is around 12500 area.