Euro zone economy posts surprise expansion in the fourth quarter, curbing recession fears

Economists had pointed to a 0.1% contraction over the same period, according to Reuters.

The latest figures come after the euro area posted a 0.3% GDP increase for the third quarter of last year. The euro zone is expected to have grown by 1.9% in the fourth quarter, compared with the same period of 2021, according to the preliminary data. "Germany has likely entered a shallow and short recession in the fourth quarter that will last through the first quarter before the economy stabilises in the second quarter ," Salomon Fiedler, economist at Berenberg, said in a note Monday.

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