ECB’s High Interest Rates Probably Stalled Euro-Zone Economy
- Third-quarter data seen showing zero growth or negative result
- Inflation is expected to have slowed markedly in October
A Euro sign sculpture in front of the European Central Bank headquarters in Frankfurt, Germany.
Photographer: Hannelore Foerster/BloombergThis article is for subscribers only.
The euro-region economy stalled or even contracted in the third quarter under the cumulative weight of successive interest-rate hikes, according to forecasters.
All but four of the 29 economists surveyed by Bloomberg predict data on Tuesday to show gross domestic product either stagnated or shrank after only a brief spurt of expansion during the three months through June. A separate report is seen likely to reveal noticeably weaker inflation in October.