Eurozone GDP in line with expectations in the third quarter

The Eurozone economy expanded in line with expectations in the third quarter, bolstered by private consumption and government spending, figures released on Tuesday showed.

According to Eurostat, gross domestic product (GDP) in the 19-country bloc grew 0.3% quarter-on-quarter in the three months to September, down from 0.4% the previous quarter but in line with analysts' expectations for an unchanged reading.

On a year-on-year basis, GDP grew 1.6%, in line with the previous quarter’s reading and with consensus.

“The numbers are in line with what the market expected and what the ECB has already told us about growth in the Euro area,” said James Hughes, chief market analyst at GKFX.

The move also shows that despite the stimulus added last by the ECB that so bitterly disappointed the markets, growth is still very gradually moving in the right direction.

“The Eurozone has struggled for such a long time to try and combat ultra-low or negative inflation as well as stagnant growth.”