The German GDP growth rate for the third quarter of 2018 came in yesterday and showed a dramatic slowdown. Analysts had been expecting a reading of 1.3%, but the economy actually slowed to 1.1% last quarter, from 2% the previous quarter. It was slightly more positive in the eurozone, as the overall GDP growth rate came in as expected at 1.7%. This was another slowdown from 2.2% the previous period.
Employment change figures from the eurozone came in below expectations at 0.2% from 0.4% the previous quarter. It is the slowest increase in employment since the fourth quarter of 2015 and will be slightly concerning. Year-on-year industrial production figures came in much better than expected at 0.9% in September (a figure of 0.3% had been predicted), but it was still a drop from 1.1% in August.
The only release from the eurozone today is the balance of trade figures from September. Last month, figures showed a trade surplus of €11.7 billion and it will be interesting to see whether the surplus widens or contracts.
