- A prosperous and a fruitful one
- A healthy and a happy one
- A year for me to write better research and for you to comment more on it
- A year of renewing the political and economic strengths of the countries we call our homes.
Now, to the top of the newsflow from the EU-wide perspective.
The latest Eurocoin leading indicator for Eurozone growth was out recently and hence the updated details:
December performance was above November, reaching 0.49 - 4bps above November reading of 0.45. As of the beginning of January, Eurozone economy signals expansion that is yoy some 28% weaker than in January 2010 (December 2009 reading was 0.68).
Historically, Eurocoin is a pretty decent longer-term leading indicator (70%+ RSq) for the trend in the Eurozone GDP growth:
The new reading is consistent with growth of ca 2.0% and is driven primarily by industrial production and producer confidence. However, Eurozone industrial production growth has been declining persistently from the annual peak achieved back in May. Per latest (October) data, Germany continues to power ahead with strong positive growth, France and Italy remain at near zero growth and Spain's industrial output growth sticky in negative territory.
Composite PMIs for Germany (through December) powering ahead, while staying in contraction territory in France, Italy and Spain. Consumer confidence is at 2007 levels in Germany, while staying below the water line in other three economies (see chart):
I will be blogging on Ireland's PMIs in few hours tonight, so stay tuned for comparatives to the homeland.