Japan industrial output falls more than expected

LOS ANGELES (MarketWatch)
Japan's industrial production took an unexpectedly sharp drop in June, falling a seasonally adjusted 3.3% from May though manufacturers offered an upbeat outlook for the current month, the Ministry of Economy, Trade and Industry reported
The decrease in output, swinging from a revised 1.9% gain in May, trailed expectations for a 1.7% drop, according to a Dow Jones Newswires survey
A fall in production of transport equipment, including autos, led the decline, followed by eletronics and machinery, the ministry said
However, a survey of manufacturers raised their forecast for July's industrial production to a rapid gain of 6.5%, up from 3.3% projected in last month's survey
In May, the survey -- produced by the ministry -- had tipped output to fall 2.4% in June