Eurozone: Stronger and broader recovery - BNPP

Eurozone’s recovery is getting stronger and broader as the dispersion of economic performances among member states is receding, according to analysts at BNP Paribas.

Key Quotes

“Despite the cyclical recovery, core inflation still shows no sign of a convincing upward trend. For the recovery to enter its inflationary phase the economy has to improve further, until the point at which wages will tend to increase. The ECB is expected to remain cautious. Possible extension of APP after Sept. no rates hike before mid-2019.”