Flash 2012-08_EN-final

After stabilising in the 1st quarter of 2012, eurozone GDP again contracted in the 2nd quarter (down 0.2% on the previous quarter). Although the eurozone is not strictly speaking in a technical recession – which would require two consecutive quarters of falling GDP – it is well on the way. The cyclical indicators available at the start of the 3rd quarter hold out little hope of escaping a further drop in GDP in the next quarter.

• Eurozone : Leading indicators at lowest point

• Manufacturing : No improvement in sight

• Construction : Persistent decline

• Financial sector : UCIs: A stagnant 2nd quarter

• Labour market : Employment in finance remains dynamic

• Price : Diverging trends in raw materials

• International trade : Trade in goods falls in the eurozone