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The Conference Board Economics Watch® European View

Data indicate that after the rebound of the first quarter, the Euro Area economy has been gaining some strength. Yet uncertainty related to trade tensions remains and affects the export sector. An increasing number of manufacturers suffer from weak demand. Policy uncertainty will stay high during the summer, especially in the UK with the change in leadership, and in Italy with the risk of an early general election.  Overall, the Euro Area continues its growth slowdown from 1.8 percent GDP growth in 2018 to 1.3 percent in 2019, which is close to its medium-term trend.

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