German final Gross Domestic Product revised down to 0.3% contraction QoQ in Q1
- German economy tipped into a technical recession in the first quarter.
- EUR/USD keeps losses near 1.0730 on the downbeat German GDP data.
The German economy entered a technical recession in the first quarter of 2023, according to final data from Germany's statistics office Destatis published Thursday.
The euro area’s economic powerhouse contracted by 0.3% in the first three months this year compared with the previous quarter. The preliminary figure showed no growth for Germany in the reported period. The market consensus was for a 0% clip.
On an annual basis, Germany’s Gross Domestic Product shrank 0.5%, down sharply from the 0.1% contraction initially estimated and missing the market expectation of a 0.1% decline by a wide margin.
Market reaction
The Euro is feeling the pull of gravity on the discouraging German data, with EUR/USD losing 0.14% on the day near monthly lows of 1.0728.
Author
Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.
