08-15-2014, 01:16 AM
| | Euro zone economy unexpectedly fails to grow in second quarter
The euro zone’s economy failed to grow in the second quarter, underlining concerns over the region’s economic outlook, official preliminary data showed on Thursday.
In a report, Eurostat said that the euro zone’s gross domestic product was flat in the three months to June, below expectations for growth of 0.1%. The euro zone’s economy grew 0.2% in the preceding quarter.
Year-on-year, euro zone GDP increased at an annualized pace of 0.7% compared to a year earlier, in line with expectations and after expanding at a rate of 0.9% in the first quarter.
Following the release of the data, the euro turned higher against the U.S. dollar, with EUR/USD rising 0.04% to trade at 1.3369, compared to 1.3359 ahead of the data.
Meanwhile, European stock markets remained mixed. The DJ Euro Stoxx 50 declined 0.7%, France’s CAC 40 dipped 0.45%, London’s FTSE 100 inched up 0.15%, while Germany's DAX slumped 0.4%.