Eurozone GDP beats expectations

The Eurozone economy expanded by 0.2% quarter-on-quarter in Q3 2025, up from 0.1% in Q2 and slightly above market expectations of 0.1%, according to a flash estimate.

France grew 0.5%, exceeding expectations of 0.2%, driven by a sharp rise in exports, while Spain remained the best performer among the bloc’s largest economies, expanding 0.6% as expected, supported by strong household consumption and fixed investment.

Meanwhile, Germany stagnated due to a decline in exports, and Italy stalled, with the industrial sector contracting and services showing no growth.

On an annual basis, Eurozone GDP rose 1.3%, above expectations of 1.2%.

The better-than-expected figures ease pressure on the ECB to cut interest rates in the near term, supporting the view that the economy remains resilient despite geopolitical tensions and trade policy uncertainty.