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Eurozone Industrial Production Picks Up in August

The eurozone's factories, mines and utilities stepped up production in August, easing worries that the pound's sharp falls in the wake of the U.K.'s June vote to leave the European Union would have an immediate impact on exports from the currency area to its second largest overseas market. Figures released by the EU's statistics agency showed industrial output in the eurozone in August was 1.6% higher than in July and up 1.8% on August 2015. Economists surveyed by The Wall Street Journal had estimated that output rose 1.5%. The pickup was led by Germany, the eurozone's largest exporter to the U.K. But there were also significant increases in France, Italy, Spain and the Netherlands.

German Economic Growth to Slow in Second Half

The German economy will grow less strongly in the second half of the year than in the first, as export prospects are less promising amid growing geopolitical risks, the economic ministry said in its monthly report. The ministry also said that while there is uncertainty over what future economic relations with Germany's important trade partner, the U.K., will look like after the exit from the EU, it doesn't expect this uncertainty to lead to a shock for the German economy. Private consumption and the labor market are expected to remain robust, the ministry added. The German government last week raised its forecast for economic growth this year to 1.8%.

French Consumer Prices Fall in September

French consumer prices fell in September, as prices of tourism services dropped with the end of the summer holiday season, French statistics agency Insee said. France's consumer price index fell 0.2% in September from August after a 0.3% increase in August. The figures were in line with preliminary figures released on Sept. 30 and with forecasts by economists polled by The Wall Street Journal. Inflation in the eurozone's second-largest economy has long been running below the European Central Bank's 2% target, despite the bank cutting interest rates to record lows and spending billions of euros on asset purchases. France's HICP--a harmonized measure of annual price changes used by the ECB--rose 0.5% year-over-year in September, up from a 0.4% increase in the 12-month period ended in August.

Fed Minutes Show Officials Expect to Raise Rates 'Relatively Soon'

Federal Reserve officials meeting in September laid the groundwork to raise short-term interest rates "relatively soon," according to minutes of the meeting, although they struggled to reconcile internal divisions over the timing of the next rate move. "Some participants believed that it would be appropriate to raise the target range for the federal funds rate relatively soon if the labor market continued to improve and economic activity strengthened, while some others preferred to wait for more convincing evidence that inflation was moving toward the Committee's 2% objective," the Fed said in minutes of the Sept. 20-21 meeting. In a summary of economic projections released following the meeting, a majority of officials indicated it would be appropriate to raise rates once before the end of the year.

Swiss Recovery to Continue Next Year, Says SNB Official

Switzerland's economic recovery is expected to continue into next year, and the country's monetary policies are appropriate given the current economic climate, Swiss National Bank Vice Chairman Fritz Zurbrugg said. Swiss gross domestic product is expected to expand 1.5% this year, he said, and "we are also expecting this moderate recovery to continue into 2017." Mr. Zurbrugg said he continues to see "significant overvaluation" of the Swiss franc against other currencies. The franc tends to strengthen during times of global economic and political uncertainty, given Switzerland's stable economy and low debt that has made it a safe haven.

Russia Could Lower Interest Rate if Inflation Hits 4%

Russia's key interest rate may be lowered to 6% to 7% if inflation hits 4%, the central bank governor said. The Russian central bank lowered the key interest rate to 10% from 10.5% in mid-September, resisting calls from investors and lawmakers to move more aggressively. Central bank Governor Elvira Nabiullina has promised there would be no more rate cuts this year because long-term inflation risks persist. Inflation is currently above 6%, the same level it reached during the 2000s, but the government and central bank is targeting inflation at 4% in 2017.

CORPORATE TRADER:

China's Trade Struggles Add to Worries Over Economy

Chinese exports fell more steeply than expected last month, highlighting the continuing weakness in global demand that is weighing on the world's second-largest economy.

Court Rejects Injunction Against EU-Canada Trade Deal

Germany's Constitutional Court has rejected emergency appeals aimed at stopping the European Union's trade deal with Canada.

Unilever Defends Brexit Price Rises After Tesco Spat

Unilever defended its stance in a pricing dispute with Tesco as it reported a slowdown in third-quarter revenue growth amid fierce competition and currency devaluation.

Tesco in Brexit Pricing Spat With Unilever

Tesco, Britain's largest grocer, pulled products made by Unilever from its online shopping site because of a dispute over pricing in the wake of the pound's sharp descent, according to a person familiar with the matter.

Sweden, Norway Put Airline on Privatization Runway

Sweden and Norway reduced their stakes in Scandinavian airline SAS, saying the state-controlled carrier would perform better in private hands.

Cost to Borrow Yuan Overnight in Hong Kong Inches Up

The key interbank rate, whose moves sometimes reflect actions taken by China's central bank, has increased each trading day this week and is now at 3.84%.

Wells Fargo CEO Stumpf to Retire

Wells Fargo Chairman and Chief Executive John Stumpf is stepping down from both roles, effectively immediately, as the bank's sales tactics scandal continues to roil the firm.

Settlement Reached in Nortel Fight Over $7.3 Billion

A deal has been reached to end the long-running fight over $7.3 billion raised in the bankruptcy liquidation of former Canadian telecommunications giant Nortel Networks Corp.

Google, Facebook to Invest in U.S.-China Data Link

Facebook and Google owner Alphabet will partner with a little-known Chinese company to build a ultrafast internet cable between Los Angeles and Hong Kong, the latest sign of its U.S. backers' insatiable appetite for bandwidth.

Hanjin Shipping's Asia-U.S. Route Assets to Be Put on Sale

The Korean bankruptcy court handling Hanjin Shipping's insolvency says it plans to dispose of the firm's sales and marketing network for its Asia-U.S. route.