Eurozone GDP grew in the third quarter of 2024 at its fastest pace in two years, boosted by stronger-than-expected growth in Germany and France. The euro rose on positive data, while European stocks fell amid global market tensions and upcoming US election concerns. The eurozone economy expanded at a surprising 0.
4% quarter-on-quarter rate in the third quarter of 2024, according to Eurostat's preliminary flash estimates, as Germany and France outperformed expectations. The pace of economic growth in the currency bloc accelerated from the 0.2% recorded in the second quarter, defying economist predictions of 0.
2% growth and marking the eurozone's strongest expansion since the third quarter of 2022. Growth in the European Union stood at 0.3%, matching the rate seen in the second quarter.
On an annual basis, seasonally adjusted GDP rose by 0.9% in both the euro area and the European Union in the third quarter of 2024. Germany, the bloc's largest economy, saw its GDP rise by 0.
2% quarter-on-quarter, outperforming expectations of a 0.1% decline, preliminary data from the Federal Statistical Office showed. This recovery followed a downwardly revised 0.
3% contraction in Q2, supported by increased government and household consumption. However, despite this resilience, Germany is still projected to end 2024 with a 0.2% contraction, marking its first back-to-back annual recession since the early 2000s after a 0.
3% decline in 2023. France posted a robust 0.4% GDP increase last quarter, u.
