25 Apr 2016
Eurozone: GDP, CPI and unemployment in focus this week - BBH
Research Team at BBH, notes that the Eurozone reports money supply, unemployment, final CPI and its first estimate of Q1 GDP this week.
Key Quotes
“The important part of the money supply report these days is with the growth in the private sector lending. The ECB's recent survey found business lending conditions had eased, but household lending conditions tightened. Unemployment is slowly falling and may have held at 10.3% in March. It stood at 11.2% in March 2015.
After a whiff of deflation in February and March, the preliminary estimate had CPI at zero in April. The final report is expected to confirm this estimate. The core rate may have eased from 1.0% to 0.9%. The core rate has been stable. It has averaged 0.9% over the past six and 12 months. The 24-month average is 0.8%.
Although many economists bemoan the slow growth in the eurozone, it is not far from trend growth, which is estimated around 1.5%. In Q4 2015, the eurozone grew 1.6% year-over-year. In Q1, the quarterly pace may have picked up to 0.4% from 0.3% (in Q4 15), but the year-over-year pace may have slowed 1.4%.”
Key Quotes
“The important part of the money supply report these days is with the growth in the private sector lending. The ECB's recent survey found business lending conditions had eased, but household lending conditions tightened. Unemployment is slowly falling and may have held at 10.3% in March. It stood at 11.2% in March 2015.
After a whiff of deflation in February and March, the preliminary estimate had CPI at zero in April. The final report is expected to confirm this estimate. The core rate may have eased from 1.0% to 0.9%. The core rate has been stable. It has averaged 0.9% over the past six and 12 months. The 24-month average is 0.8%.
Although many economists bemoan the slow growth in the eurozone, it is not far from trend growth, which is estimated around 1.5%. In Q4 2015, the eurozone grew 1.6% year-over-year. In Q1, the quarterly pace may have picked up to 0.4% from 0.3% (in Q4 15), but the year-over-year pace may have slowed 1.4%.”