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10/30, 1:50 PM (Source: TeleTrader)
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ECB's De Guindos warns of growth below 3% in Q4

Vice President of the European Central Bank (ECB) Luis de Guindos stated on Friday that the eurozone's economic growth in the third quarter was "a positive surprise" but said that the fourth-quarter gross national product (GDP) will not reach the expected 3%. He also warned that he cannot rule out a negative GDP figure, adding that the eurozone economy will not reach 2019 levels before 2022.

Turning to inflation, he said that the eurozone will start seeing positive rates by 2021, predicting that it will rise to around 1%. He also cautioned that the fiscal policy motivated by the coronavirus pandemic will result in a wider deficit, some 8% of GDP higher than before the economic crisis. Finally, he appealed to European Union members to come up with measures to combat the virus without shutting down their economies.

Breaking the News / DJ