Euro Area Economic Growth Slows in June - EuroCOIN Gives Lowest Reading Since Dec 2001

26.07.2005

The latest value of the EuroCOIN™ indicator released by the Centre for Economic Policy Research (CEPR) shows:

- CEPR’s EuroCOIN reading for June 2005 points to a slowdown of economic activity for the 12 countries that make up the euro area. The upturn signals given for March and April have been more than offset by a decrease in the May and June readings for EuroCOIN, indicating that the direction of euro area economic growth remains uncertain.

- In the euro area, the cyclical component of quarterly GDP growth decreased from 0.329 in May to 0.242 in June. This is the lowest EuroCOIN reading since December 2001. The May figure has been revised downwards.

- The overall indicator weights signals coming from different macroeconomic variables. Interest rates, industrial production indices, financial variables, labour-related variables and surveys point to a reduction of growth, whereas interest rates give a positive signal.

- EuroCOIN figures from March 2005 are provisional and may be subject to revision:

June 2004:
0.593

July 2004:
0.518

August 2004:
0.457

September 2004:
0.470

October 2004:
0.402

November 2004:
0.412

December 2004:
0.367

January 2005:
0.357

February 2005:
0.340

March 2005:
0.387

April 2005 0:
0.384

May 2005:
0.329

June 2005:
0.242