Economics
Europe Is About to Find Out How Bad the Economy Has Become
- Second-quarter GDP due Wednesday, analysts predict 0.2% growth
- Inflation seen slowing to 1.1%, weakest since early 2018
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Mario Draghi didn’t pull his punches when he said the economic outlook is getting “worse and worse.” This week, he’ll get more insight into how bad it really is out there.
Growth probably slowed to 0.2% in the second quarter, a below-trend pace that will do little to help the European Central Bank president’s effort to push inflation higher. Business surveys across the region will provide a detailed look at how companies are coping with trade tensions and weaker demand, and may put to rest any hopes for a better performance this quarter.