Events that marked the week:
Friday's session was marked by GDP figures from Eurozone. In Q3 2015, French GDP in volume terms increased by 0.3%, after a stability in Q2 2015 (0.0%). This was in line with market forecasts. Household consumption expenditure recovered. Overall, total domestic demand (excluding inventory changes) accelerated: it contributed for +0.3 points to GDP growth after +0.1 points in Q2. Exports fell back while imports sped up. In fine, foreign trade balance contributed negatively to GDP change. Conversely, changes in inventories contributed positively.
German economy has shown continued moderate growth: In the third quarter of 2015, the gross domestic product (GDP) rose 0.3% on the second quarter of the year after adjustment for price, seasonal and calendar variations. In a quarter-on-quarter comparison (adjusted for price, seasonal and calendar variations), positive contributions were made mainly by domestic final consumption expenditure. The final consumption expenditure of both households and government was up again. By contrast, gross fixed capital formation decreased slightly. According to provisional calculations, the development of foreign trade also had a downward effect on growth because the increase in imports was markedly larger than that of exports.
Seasonally adjusted Eurozone GDP rose by 0.3% in the euro area (EA19) and by 0.4% in the EU28 during the third quarter of 2015, compared with the previous quarter. In the second quarter of 2015, GDP grew by 0.4% in both areas. Compared with the same quarter of the previous year, seasonally adjusted GDP rose by 1.6% in the euro area and by 1.9% in the EU28 in the third quarter of 2015, after +1.5% and +1.9% respectively in the previous quarter.
Next week markets will be looking at:
German ZEW Economic Sentiment/ZEW Economic Sentiment (Tuesday 11:00)
