Euro Zone Returns to Growth as Core Inflation Stays Strong

  • GDP rose 0.3% in 2Q; core inflation held at 5.5% in July
  • Data come as ECB ponders whether to hike or pause in September
WATCH: The euro-area economy returned to growth in the second quarter. Jana Randow reports.Source: Bloomberg
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The euro-area economy returned to growth while underlying inflation pressures persisted — supporting early arguments for the European Central Bank to raise interest rates again.

Second-quarter gross domestic product advanced by 0.3% from the previous three months after shrinking and stagnating in the two earlier periods, according to Eurostat data published Monday. A Bloomberg survey of economists saw an increase of 0.2%.