Signs are piling up that India's economy is struggling. In September, industrial output declined by 0.4% from the same period a year earlier. Of particular note, production of capital goods — which reflects expectations for business spending on expansion – declined by 12.2%. While such capital goods numbers can be volatile, Barclays economists also spotlighted slumping consumption as an area of weakness to watch. "While the contribution from the investment-oriented segment is expected to remain weak, fresh weakness in consumption is a source of concern. This could delay a turnaround in overall GDP growth," they wrote today. In a separate report, Asia's third-largest economy posted a record wide trade deficit in October, as imports were driven higher by oil and exports dropped.