- Nick Kounis, the head of macro and financial markets research at ABN AMRO
At last some positive news came out from the Eurozone, as Germany, Euro bloc's powerhouse, escaped recession, French growth beat expectations, while Euro zone's inflation ticked slightly higher. Germany saw its economy expanding 0.1% in the third quarter, following the upwardly revised 0.1% contraction in the preceding three-month period amid a strong increase in consumer spending as well as boost from foreign trade. France, however, recorded a bigger growth, as the economy expanded 0.3% on the quarter, surprising analysts, who had forecasted a 0.2% growth. That was the best performance of the French economy in more than a year. Nevertheless, its second-quarter GDP reading was revised down to show a 0.1% decline. On top of that, Greece's economic output soared 1.7% in the July-September period, measuring on annual basis. It is a distinct improvement after the nation's economy experienced a 1.1% slowdown in the first quarter of 2014 and a 0.3% decline in the second quarter. Overall, the economy of the 18 members sharing the single currency expanded 0.2% on the quarter following a 0.1% increase in the previous three-month period. On an annual basis, Euro zone growth was 0.8% in the third quarter, the same as in the second quarter. Moreover, annual consumer price inflation in the Euro bloc accelerated to 0.4% last month, according to the final estimate, after a 0.3% increase in September. Core CPI, which excludes volatile components, rose 0.7% in October.
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