BAD NEWS for Spain's economy:

Spanish industrial output declined by seven per cent in October on a 12-month basis, compared with a revised 3.7-per cent increase in September, the national statistics institute (INE) said on Friday.

September industrial output had initially been calculated at a rise of 3.9 per cent.

INE said that taking into account calendar effects, industrial output fell 1.5 per cent in October, compared with a revised 3.1 per cent rise in September.

Energy production declined 0.8 per cent in October from a year earlier, while that of consumer goods fell nine per cent.

Production of capital goods, those used to producer other goods, dropped 9.7 per cent, while intermediary goods production fell 6.1 per cent.