Latest economic report from the EU now published 7 Feb
- expects slightly higher EZ inflation this year
2017 EZ GDP Growth: 2.4% (Nov. estimate 2.2%; ECB 2.4%)
2018 EZ GDP Growth: 2.3% (Nov. estimate 2.1%; ECB 2.3%)
2019 EZ GDP Growth: 2.0% (Nov. estimate 1.9%; ECB 1.9%)
2017 EZ HICP 1.5% (Nov. estimate 1.5%; ECB 1.5%)
2018 EZ HICP 1.5% (Nov. estimate 1.4%; ECB 1.4%)
2019 EZ HICP 1.6% (Nov. estimate 1.6%; ECB 1.5%)
Says the EU
- Core inflation is expected to stay subdued as labour market slack recedes only slowly and wage pressures remain contained.
- Headline inflation will continue to reflect the significant influence of energy prices.
- Risks to this growth forecast remain broadly balanced.
- Growth could exceed expectations in the short term due to high level of sentiment.
- Downside risks include uncertain outcome of Brexit talks, geopolitical tensions, a shift toward more inward-looking and protectionist policies
- In the medium term, high global asset prices could be vulnerable to a re-assessment of risks and fundamentals
Full report here
