Forex
S&P Global Raises Eurozone and UK Growth Forecasts Amid Stronger Demand
S&P Global Ratings has upgraded its growth forecasts for Europe's major economies. The firm now expects the eurozone and UK to grow by 0.9% and 1.3%, respectively, in 2026.
The improved projections are due to stronger-than-expected demand, which has led to a reversal of earlier expectations of a mild contraction in the eurozone economy.
Eurozone GDP beat expectations by rising 0.6% quarter on quarter in Q2, supporting a more resilient demand environment for Europe.
Despite improved growth projections, S&P Global Ratings expects inflation pressures and elevated interest rates to persist across Europe through 2026-2028.