NVDA Q3 Earnings Alert: Why our AI stock picker is still holding Nvidia stockRead More

Euro zone annual growth exceeds U.S., backs ECB QE taper

Published 11/14/2017, 05:30 AM
Updated 11/14/2017, 05:40 AM
© Reuters. Euro coins are seen in front of a U.S. one dollar banknote displayed in this picture illustration taken in Zenica

BRUSSELS (Reuters) - The euro zone economy grew by more than the United States in the third quarter compared with a year earlier, data showed on Tuesday, supporting the European Central Bank's move to begin reducing its bond-buying program.

The European Union's statistics office Eurostat confirmed its estimate from Oct. 31 that the gross domestic product (GDP)of the 19 countries using the euro grew by 0.6 percent in July-September from the previous three months and was 2.5 percent higher than in the same period of 2016.

In the United States, the economy grew 0.7 percent quarter-on-quarter and 2.3 percent year-on-year in the third quarter. The annual rate was also greater in the euro zone in the second quarter.

The euro zone growth rate also exceeded that of Britain, which will leave the European Union in March 2019. Its economy expanded 0.4 percent quarter-on-quarter and 1.5 percent year-on-year.

Separately, Eurostat said euro zone industrial production fell by 0.6 percent month-on-month in September as expected by markets but rose 3.3 percent year-on-year, slightly beating economists' average forecast of a 3.2 percent increase.

In October, the ECB took its first step towards weaning the euro zone off ultra-loose money by saying that from January it will halve the amount of bonds it buys every month to 30 billion euros ($35.1 billion). It nevertheless promised years of stimulus and left the door open to backtracking.

© Reuters. Euro coins are seen in front of a U.S. one dollar banknote displayed in this picture illustration taken in Zenica

($1 = 0.8537 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.