Belfast Telegraph

Slowing down in growth on cards within eurozone

By Staff Reporter

The latest economic data from the eurozone has confirmed that the 19-member bloc appears to be moving towards a period of slower output growth.

Industrial production fell 1.7% in November from October and was down 3.3% from a year earlier. Declines were across all countries and included consumer durables and capital goods as well as vehicles and energy.

Andrew Kenningham, chief Europe economist at Capital Economics, said: "For now, we think the eurozone probably eked out a small increase in GDP in the fourth quarter because the retail sales figures for October and November were positive and the business surveys still suggest that output was not falling sharply.

"But the eurozone has clearly shifted down a gear. Any fall-off in activity will be a deep concern to the European Central Bank.

"Meeting minutes from December showed some rate-setters were worried its economic forecasts were too optimistic."

Belfast Telegraph