The Strategist

Eurozone GDP rises better than forecast in third quarter

10/29/2021 - 14:35

The GDP of 19 eurozone countries, according to the first estimate, grew by 3.7% year-on-year and 2.2% quarter-on-quarter in the third quarter of 2021, the European statistical agency Eurostat said.

Analysts polled by DailyFx expected eurozone GDP to grow by 3.5% year-on-year and 2% quarter-on-quarter in the third quarter.

GDP in the European Union in the third quarter, according to the first estimate, grew by 3.9% year-on-year and by 2.1% quarter-on-quarter.

Thus, the economy continues to grow after the second quarter - at that time EU GDP rose by 13.7% year-on-year and by 2% quarter-on-quarter and the 19 Eurozone countries by 14.2% and 2.1% respectively.

At the end of 2020, EU GDP fell by 6.2% and eurozone GDP by 6.6%.

Annual inflation in the 19 eurozone countries accelerated to 4.1% in October from 3.4% a month earlier, according to a preliminary estimate, according to data from the European statistical agency Eurostat.

Analysts polled by the Daily FX expected inflation to accelerate to only 3.7 per cent. A year earlier, the region recorded deflation of 0.3%.

Local consumer prices, according to a preliminary estimate, rose by 0.8% in October.

Core annual inflation accelerated to 2.1% from 1.9% a month earlier. The figure was in line with analysts' forecasts and preliminary estimates.