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Pressure Remains on ECB

As Eurozone growth misses another forecast, European Central Bank faces pressure to deliver stimulus.

By Stefan Riecher, Bloomberg | Updated on May 15, 2014

The euro-area recovery failed to gather momentum last quarter, as France unexpectedly stalled and economies from Italy to the Netherlands shrank.

Growth of just 0.2 percent for the currency bloc, half as much as economists had forecast, adds pressure on the European Central Bank (ECB) to deliver stimulus measures next month in its battle against weak inflation and anemic output. While German expansion doubled to 0.8 percent, that wasn’t enough to offset renewed weakness across the region, including a 0.7 percent drop in Portugal.

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