Pedestrians put on protecting face masks whereas passing shops and cafes on Rue Montorgueil in Paris, France, on Wednesday, Aug. 26, 2020.
Bloomberg | Bloomberg | Getty Photos
The euro zone economic system eked out 0.2% progress within the third quarter, simply beating expectations, in keeping with flash knowledge from Eurostat on Thursday.
Economists polled by Reuters had anticipated the bloc’s economic system to develop by 0.1% between July and September.
The euro zone economic system recorded 0.1% progress within the second quarter, following a 0.6% enlargement within the first.
The info comes forward of the European Central Financial institution’s subsequent financial coverage choice, due later Thursday.
The central financial institution is extensively anticipated to maintain its key deposit facility charge at 2% on the assembly, having final minimize charges in June. The trim got here because the euro zone’s annual inflation charge hit 2%, the ECB’s goal, although the speed of worth rises has risen since, to 2.2% in September.
Regardless of a lackluster progress outlook, economists say the central financial institution is unlikely to chop rates of interest once more for some time.
“The ECB’s charge slicing cycle seems to be over, at the least for now, with firmer enterprise exercise and rising inflation leaving few doubts that the Governing Council will sit on its arms for some time but,” Matthew Ryan, head of Market Technique at monetary providers agency Ebury, mentioned in emailed feedback.
