ez q1 gdp growth (2nd est.) review
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NO CHANGE AFTER FIRST GERMAN Q1 GROWTH REPORT

- EZ GDP Rates Match Prelim Numbers After First Release of German Q1 Growth

 

Frankfurt, 15 May (LS NEWS) – The European Union’s second report on Eurozone GDP growth in the first quarter matched the preliminary data released at the end of last month after numbers for the German economy were in-line with market estimates on a quarterly basis and slightly lower than the forecast for the annual rate.

 

EUR/USD lost ground and the Bund yield continued lower after the news.

 

The EU statistics office confirmed its April preliminary data of 0.4pct quarterly Eurozone growth in Q1 and the 1.2pct annual rate.

Earlier Wednesday, Germany said its seasonally adjusted Q1 GDP expanded by 0.4pct on the quarter—which matched market expectations—and the real annual rate was 0.6pct, just short of the 0.7pct predicted by economists and below the 0.9pct growth in the final three months of 2018.

 

On 7 May, the European Commission released its latest economic estimates, which slashed the German growth projection for the current year to 0.5pct and eased the EZ forecast to 1.2pct.

 

Claus Vistesen, chief Eurozone economist at Pantheon Macroeconomics, said: “The headlines are strong overall, showing that all the major EZ countries provided strong tailwinds to the economy at the start of the year. Growth also remained strong in the smaller economies.”

 

--- Eric Culp

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