first time in over a year, the German economy shrank in the spring. Between April and June, GDP fell year on year by 0.2 percent. Also in Austria and France, it does not look good. Euro and Dax with losses.
German Economy is in the spring for the first time for over a year shrunk . Because of the weakening foreign trade and declining investment, gross domestic product (GDP) fell from April to June to 0.2 percent to the previous quarter, the Federal Statistics Office announced on Thursday. Economists polled by Reuters had on average expected to stagnate. In the first quarter, the economy
The expected damper was still increased (revised) 0.7 percent and had mainly benefited from the mild winter construction.
As exports grew less strongly than imports, dampened foreign trade overall economic , as the statistician explained. “In addition, walked the Investments especially in buildings significantly.” By contrast, private consumers and public budgets have each increased their consumption somewhat.
Following the rapid start to the current year, the German economy was thus expected by many economists damper. However, the statisticians corrected the growth rate for the first quarter slightly down from 0.8 percent to 0.7 percent . At that time about the construction industry benefited from the mild winter.
Ukraine crisis burdened economy
“The weather effect due to the mild winter has played a role In addition, the foreign trade dampened. This is an economic slowdown,” says Stefan Kipar, economist at BayernLB. “In addition, investments were reduced. Too in the next few quarters is not expected high growth rates because of the Ukraine / Russia crisis. Foreign trade will bring the foreseeable future no positive contribution to growth.”
Commerzbank economist Joerg Kraemer says: “Essentially, this is a build effect: Due to the mild winter, large parts of the construction output was brought forward into the first quarter, the second quarter detriment Without this effect it would have in the spring growth of 0.2. given percent. ” Krämer see no recession risk . The interest rate is much too low for Germany, which sparked the growth. “This is just a dent., We have our forecast for economic growth this year previously from 2.0 to 1.7 per cent taken down ,” says Kramer. “To such growth, most countries envy us in the Euro-zone.”
- investment Guide as a PDF Download
- To manage your finances effectively and safely. The Best Tips & amp; Tricks and important info – FOCUS Online for you. Click HERE for more information download
Mini-growth for euro-zone
Now attended the numerous crises around the globe for uncertainty, in particular the Russia-Ukraine conflict and developments in the Middle East. Which could not entirely escape the export nation Germany.
Europe’s largest economy was last engine of growth of the monetary union. By the setback in the German economy in the second quarter, it would be gone not so good for the Euro-zone – especially the French economy stagnated only. In Germany’s most important trading partner France the economic t stagnated in the spring. Therefore, the government in Paris halved its growth forecast for 2014 and expects a higher borrowing . Gross domestic product will probably grow by only 0.5 percent , Finance Minister Michel Sapin wrote in a commentary for the daily newspaper “Le Monde”.
Mini-growth in Austria
In addition, the Austrian economy will not budge. Early estimates for the second quarter increased the Economic Power to 0.2 percent after an increase of 0.1 percent for the year. “After the economy in the second half of the year was 2013, thanks to the slight increase in foreign demand picked up somewhat for domestic goods and services, flattened the upward trend in the first half of 2014 again”, the Economic Research Institute (WIFO) said on Thursday with. Therefore, the foreign trade fell to support growth almost gone – and the Austrians themselves kept their money together and consumed little
Dutch economy , however, is thanks to rising investments in the spring
Euro exchange rate falls
However, it is likely due to the setback in the two largest economies in the Euro Zone be Germany and France did not go so well in the whole currency area. The data will be published later in the morning. Experts had previously expected a growth of 0.1 percent .
Meanwhile, the € on Thursday because of the disappointing data on economic growth in Germany and France like . In the morning, the euro slid to a session low of 1.3349 U.S. dollars. But the losses were limited. The euro was only slightly lower than the previous evening. The Dax lost to start trading 0.4 percent to 9164 meters.
‘+’ ‘+’
No comments:
Post a Comment