Latest figures show the Eurozone economy remained in the doldrums in Q3. But an upbeat ZEW economic survey raises hopes that Germany could avoid recession.
14 November 2023
The second reading of third quarter GDP for the Eurozone matched the preliminary estimate (or flash estimate) of two weeks ago, showing that broad growth across the euro area was down 0.1% over the quarter. The majority of countries in the region hovered around the no-growth baseline but notable exceptions were in Austria (-0.6%), Finland (-0.9%) and Ireland (-1.8%), while the Spanish economy grew by 0.3% during the quarter.
Market reaction in the Euro currency was more upbeat following Germany’s ZEW economic sentiment indicator release which swung into positive territory. The expectation amongst institutional investors has clearly moved to a more optimistic outlook for Europe’s largest economy – so there is one positive forward-looking measure offsetting one negative backward-looking GDP print.
Important legal information
The information in this document is given for information purposes only and does not qualify as investment advice. Opinions and assessments contained in this document may change and reflect the point of view of GAM in the current economic environment. No liability shall be accepted for the accuracy and completeness of the information. Past performance is not an indicator for the current or future development.
The information in this document is given for information purposes only and does not qualify as investment advice. Opinions and assessments contained in this document may change and reflect the point of view of GAM in the current economic environment. No liability shall be accepted for the accuracy and completeness of the information. Past performance is not an indicator for the current or future development.