The Eurozone economy continued to show signs of weakening momentum, slightly below initial forecasts for the second quarter.
According to European Statistics Office, utput rose by 0.6% in the three months from April to June.
Employment, on the other hand, rose by 0.3% over the period.
Data still suggest Europe’s economy is relatively strong heading into the summer, but analysts fear energy shortages will further fuel record inflation and plunge the continent into recession. .
According to Bloomberg research, there is a 60% chance that the recession will last for two quarters.
Inflation is expected to average nearly 8% in 2022. This is about four times the European Central Bank’s target.
Officials have stressed the importance of responding strongly to prevent expectations of higher inflation from taking hold, but some economists question how far interest rates could go in the event of a recession. I am questioning whether
