Pick-up the pace of Spain with the & # 39 growth is a positive signal for the European economy, according to financial analysts.
Here Simon Harvey Monex Europe:
This is the currency analyst Marc-Andre Fongern:
But Michael Brown Caxton.
Spain to & # 39; e predictions 0,7% gowth
Newsflash: Spain's economy accelerated in the last quarter, an increase of more than two times faster than in France.
Spanish GDP grew by 0.7%, according to its National Bureau of Statistics, beating forecasts in the first three months of this year.
That's up from 0.6% in October-December, showing that the Spanish economy had some momentum in recent weeks.
On an annual basis, the Spanish economy grew by 2.4% compared to the 1st quarter 2018 – again, a solid result.
response to follow
Mnuchin: Hope to make a trade war progress
Given today's data, French and Chinese manufacturers will both be hoping for a trade war a breakthrough in the near future.
US officials have landed in Beijing today for new talks to end the dispute that led to the tariffs for the export of hundreds of billions of dollars.
Speaking to reporters at his hotel, the US Treasury Secretary Steven Mnuchin said he hopes to make progress:
"We look forward to productive discussions over the next few days."
Overnight, some disappointing Chinese manufacturing data undermined hopes that the global economy is gaining momentum.
China's factories grew slightly just in April, according to the National Bureau of Statistics country. This is the official manufacturing the PMI, which tracks activity fell to 50.1 in April from 50.5 in March. This level indicates a stagnation – this means that a trade war with the United States is still biting.
These trade disputes, of course, also with the & # 39 is a factor in the erosion of French export growth in the last quarter.
Although any increase in the reception, 0.3% quarterly growth rate is mediocre.
And how Philippe WaechterChief Economist Ostrum Asset Management shows French GDP is now subdued throughout the year.
This diagram shows how the cessation of growth of exports of France pulled its economy back in the last quarter (green bar).
The red band is also significant – it is the swelling of their stocks.
More encouragingly, the French household spending in the last quarter (being flatlined in October-December) rose by 0.4%. This suggests that consumer confidence may be picking up.
French companies have also continued to invest in new equipment and a & # 39; objects – a "gross fixed capital formation" rose by 0.3% (slightly lower than the previous quarter).
This means that domestic demand made a positive impulse to the economy of France.
Net decrease in trade hurt France
Digging in the report of the GDP of France a bit, it is clear that the decline in world trade hurt the company.
Export growth nearly stalled during the first three months of 2019, an increase of just 0.1% (with an increase of 2.2% in the 4th quarter 2018 year). Imports also slowed to 0.9% compared with 1.2% in the 4th quarter 2018 year.
Decline in exports means that the net of the & # 39; the volume of trade wiped 0.3% of the growth in France.
The company also expanded its reserves – the belief that they were procuring goods and sell them in the markets. This building inventories added 0.3 percentage points of growth in France – this means that overall growth would be flat otherwise.
France grew by 0.3% in the last quarter
Newsflash: France won the day's GDP and works, reporting another quarter of growth.
The French economy grew by 0.3% in January-March this year, the new data from the body of statistics INSEE show.
This is consistent with its growth rate in the last quarter of 2018, and suggests that vests Jaunes protests engulfed in Paris not slowed the economy in recent years.
To be continued ….
Introduction: This is the day Eurozone GDP
Good morning and welcome to our rolling coverage of the global economy, financial markets, the euro zone and business.
Today we know with & # 39 is the European economy is still stuck in a rut, when new data on the GDP of the whole of the single currency region released.
Economists predict that growth in the euro area rose to 0.3% in the first quarter of 2019, from 0.2% in October-December. That would be a slight improvement, but still weak.
At the country level, Italy can claw its way out of the crisis.
New data on unemployment in the euro area will also allow us to see the company continue to create jobs, despite the slowdown.
In a bumper day for data, we also need to get the growth performance of Mexico and Canada.
On the corporate front, Santander, Lufthansa and airbus with & # 39 are reporting the results in the morning, along with BP and Whitbread in the UK (plus GM, Apple and McDonalds later today).
, In addition, the technological sector can be subdued after Alphabet reported disappointing results.
Markets are expected to be quiet, after another record high on Wall Street last night, but some surprise GDP data today may change!
- 6:30 AM BST: France GDP for the 1st quarter 2019
- 8am BST: Spanish GDP for the 1st quarter of 2019
- 8:55 AM BST: German unemployment data for April
- 10am BST: Eurozone GDP for the 1st quarter 2019
- 11am BST: Italy's GDP for Q1 2019
- 1.30pm BST: Canadian GDP in February
- 2pm BST: Mexican GDP for the 1st quarter of 2019