EU Double Dip Recession

eu-recession

Source: EU GDP

  • GDP fell by 0.6% in the euro area (EA17) and by 0.5% in the EU27 during the fourth quarter of 2012.
  • Over the whole year 2012 GDP fell by 0.5% in the euro area and by 0.3% in the EU27
  • In the fourth quarter, even Germany saw negative growth with -0.6%

Compared with the same quarter in the previous year, some countries saw significant drops in GDP.

  • Italy GDP fell -2.7% in past 12 months
  • Greece -6.0%
  • Portugal – 3.8%
  • Spain – -1.8%
  • France – 0.3%
  • UK 0.0%
  • Germany 0.4%
  • US 1.5%

The fall in EU GDP is bad news, especially because it’s hard to be optimistic about the prospects for recovery in the EU. It is a reminder that bond yields are only a side show in the real test of the EU economy.

Link to extent of austerity in the EU at FT

EU Unemployment

Eurostat_Graph_tsdec450

EU Unemployment

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