Report of the European Commission?
The European currency rose against the U.S. dollar
after the publication of the report of the European Commission, which in a positive way was
revised projections for GDP growth and lower unemployment.
In the first half of the day the data came out that indicated the increase in the balance of trade balance of Germany, despite the decline in exports, as imports declined more compared to the previous month.
According to the report of the national Bureau of statistics, export
Germany in September 2017 fell by 0.4% compared to August, then
as imports fell 1.0%.
Positive balance of foreign trade of Germany with correction
21.8 bln EUR vs 21.3 billion dollars in the previous month.
The Bank of France today released a report where it was stated that
the second largest economy in the Eurozone at the end of this year could grow by 0.5%. Good support by the end of the year
to provide the production sector and the service sector of France.
As I noted above, today published a report
The European Commission, according to which projected GDP growth in the Eurozone in 2017
the level of 2.2% against the previous forecast of 1.7%. In 2018, the economy may
to grow by 2.1% against the previous forecast of 1.8%, and in 2019 forecasts
GDP growth Euro area at 1.9 percent.
With regard to the labour market, there are also the good moments.
Economists expect unemployment in the Euro area in 2017 will drop to 9.1% against the previous forecast of 9.4%. In 2018, the same indicator
expected to decline to 8,5% versus the previous forecast of 8.9%, and in
2019 will fall to the level of 7.9%.
As stated in the European Commission, currently the Eurozone
located on the way to the most rapid economic growth in a decade, then
as in the labour market is still experiencing weak wage growth and a considerable amount
As for inflation, it’s not so positive. Report
was revised for the worse. So, in 2017 the European Commission predicts
inflation in the Eurozone at 1.5% vs previous forecast of 1.6%. In 2018
year inflation is expected at 1.4%
against the previous forecast of 1.3%, and in 2019 inherent level of 1.6%.
Sharp growth of Euro in the first half of this year made
economists to revise their forecasts, and the curtailing of the QE program and
incentive measures could further spoil the situation with inflation,
which pays close attention to the European Central Bank.
The material has been provided by InstaForex company — www.instaforex.com