Euro area Q3 growth surprised on the downside

Today’s Q3 GDP flash preliminary estimate for the euro area (EA) surprised on the downside. It averaged only 0.2% qoq (1.7% yoy), clearly lower than market expectation of 0.4% qoq (1.8% yoy) and what our various indicators suggested.

Highlights:

  • Euro area (EA) Q3 growth was only 0.2% qoq, below expectation of 0.4% qoq.
  • However, noise surrounding the German car industry likely played a major role giving leeway for a Q4 rebound.
  • We revised EA growth forecasts slightly down but see no impact on the ECB policy outlook.

Download the full publication below

EURO AREA Q3 GROWTH SURPRISED ON THE DOWNSIDE

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