Euro Surges on Stronger-Than-Expected Eurozone Growth

The Euro has strengthened against the US Dollar as the Eurozone's economic growth outpaced forecasts. The region saw a 0.4% quarterly increase in GDP, beating expectations of 0.2%. This is a significant rebound from the previous quarter's 0.2% contraction.

Germany, France, Italy, and Spain all reported economic growth, with Spain showing the strongest performance at 0.7% quarterly expansion. Germany's economy grew 0.2%, while annual GDP increased to 0.9% from 0.4%. France returned to growth with a 0.2% quarterly increase.

However, inflation remains elevated in Germany and Spain. In the US, preliminary second-quarter GDP growth slowed to an annualized rate of 1.5%, missing forecasts of 2.1%. Consumer spending and business investment continued despite this moderation.