Strong growth in Germany helped the eurozone economy expand faster than
expected in the final three months of 2014, the latest in a string of
indicators showing the region is picking up steam amid lower oil prices
and a weaker euro.
Economic output across what was then the 18-country eurozone was 0.3% higher in the fourth quarter than the previous three-month period, the EU's statistics agency said Friday. That equates to an annualized rate of around 1.2%, which is still only about half the growth rate in the U.S.
The fourth-quarter performance was nevertheless higher than the 0.2% increased anticipated by investors and has buoyed European stock markets on Friday. The Stoxx 50 index of eurozone shares rose 0.7% to a seven-year high.
Germany was the standout performer, growing by a quarterly rate of 0.7%. Its export-heavy economy should do particularly well from the fall in the euro. A lower currency makes exports cheaper in international markets, and the euro is currently weighed down by the ECB stimulus plans.
France lagged, expanding by only 0.1% while Italy's economy was stagnant.
Spain also did particularly well, growing by 0.7%, but Greece's economy faltered — declining by 0.2% — following three straight quarters of growth.
Read more: Germany helps eurozone economy pick up speed - LA Times
Economic output across what was then the 18-country eurozone was 0.3% higher in the fourth quarter than the previous three-month period, the EU's statistics agency said Friday. That equates to an annualized rate of around 1.2%, which is still only about half the growth rate in the U.S.
The fourth-quarter performance was nevertheless higher than the 0.2% increased anticipated by investors and has buoyed European stock markets on Friday. The Stoxx 50 index of eurozone shares rose 0.7% to a seven-year high.
Germany was the standout performer, growing by a quarterly rate of 0.7%. Its export-heavy economy should do particularly well from the fall in the euro. A lower currency makes exports cheaper in international markets, and the euro is currently weighed down by the ECB stimulus plans.
France lagged, expanding by only 0.1% while Italy's economy was stagnant.
Spain also did particularly well, growing by 0.7%, but Greece's economy faltered — declining by 0.2% — following three straight quarters of growth.
Read more: Germany helps eurozone economy pick up speed - LA Times
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