Euro Zone Faces Deeper Recession on Gas Cuts, Deutsche Bank Says
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The euro area is facing a deeper recession than previously forecast after Russia halted natural gas deliveries through the Nord Stream 1 pipeline, according to Deutsche Bank economists.
Output will shrink 2.2% next year, compared with an earlier projection for a 0.3% contraction, the analysts said Wednesday in a report to clients. Gross domestic product in Germany, which is most exposed to lower energy shipments, will drop as much as 4%.