29 Apr 2014
Eurozone M3 and private loans misses add to deflationary worries
FXStreet (London) - Eurozone loans to the private sector remain firmly in contraction, failing to slow in line with consensus expectations in March.
Forecasts had been for a drop of 2.1 percent, slowing from 2.2 percent in February. However, the Eurozone saw another 2.2 percent decline.
In addition, according to data from the European Central Bank, Eurozone M3 money supply growth slowed to just 1.1 percent year-on-year in March, down from 1.3 in February and below expectations of an acceleration to 1.4 percent.
The weak numbers will increase the pressure on German inflation numbers due for release this afternoon as well as on composite Eurozone inflation numbers due tomorrow, with today’s data highlighting the deflationary threats facing the Euro bloc.
Forecasts had been for a drop of 2.1 percent, slowing from 2.2 percent in February. However, the Eurozone saw another 2.2 percent decline.
In addition, according to data from the European Central Bank, Eurozone M3 money supply growth slowed to just 1.1 percent year-on-year in March, down from 1.3 in February and below expectations of an acceleration to 1.4 percent.
The weak numbers will increase the pressure on German inflation numbers due for release this afternoon as well as on composite Eurozone inflation numbers due tomorrow, with today’s data highlighting the deflationary threats facing the Euro bloc.