Weakening euro and strengthening world economy boost EU’s exports
Published 18/02/2010 | 09:09
EUROPEAN exports increased in December as a strengthening global economy and a weaker euro boosted demand for goods from the region.
Exports from the eurozone rose a seasonally adjusted 3.1pc from November, when they remained unchanged, the European Union’s statistics office in Luxembourg said yesterday.
European construction output gained 0.5pc from November, when it fell 0.8pc, a separate report showed. The euro’s drop against most other currencies is helping exporters to sell their goods.
The single currency has fallen 7.5pc against the dollar in the past three months and is helping to bolster shipments abroad by making European goods more competitive.
Still, expansion in Europe’s services and manufacturing industries slowed last month, suggesting the economy may struggle to gain momentum this year.
“The export-led recovery will continue for now,” said Andreas Scheuerle, an economist at Dekabank in Frankfurt. “Still, the first quarter will remain weak followed by a slight acceleration in growth,” he added.