French Growth Surge, Easing Inflation Give Hope to Euro Zone

  • GDP advanced 0.5% on quarter between April and June; est. 0.1%
  • Inflation abates to lowest level since Russia invaded Ukraine
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France’s economy grew significantly faster than estimated and inflation eased, providing a positive surprise as rising interest rates stoke recession fears in the 20-nation euro area.

Boosted by a surge in exports, gross domestic product in the currency bloc’s second-largest member rose 0.5% between April and June, having increased by 0.1% in the first three months of the year, the Insee statistics agency said Friday. Economists surveyed by Bloomberg had estimated expansion of 0.1%.