An unexpectedly robust German economic rebound has allowed the eurozone to escape recession, highlighting diverging fortunes across the region but also the country’s scope for lifting the prospects of weaker rivals.
German gross domestic product expanded 0.5 per cent in the first quarter of the year compared with the previous three months, a much stronger pace of growth than economists had forecast.
As a result, eurozone GDP remained flat – rather than contracting as had been widely expected – despite further falls across much of southern Europe and stagnation in France, the eurozone’s second-largest economy.
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