The Conference Board Economics Watch<sup>Â®</sup> - European View

The Conference Board uses cookies to improve our website, enhance your experience, and deliver relevant messages and offers about our products. Detailed information on the use of cookies on this site is provided in our cookie policy. For more information on how The Conference Board collects and uses personal data, please visit our privacy policy. By continuing to use this Site or by clicking "OK", you consent to the use of cookies.

The Conference Board Economics Watch^Â® - European View

Authors:
Jean-Claude Manini
Publication Date:
January 26, 2012

The Euro Area looks to be in a mild recession

Despite some relief in December, leading economic indexes for the Euro Area and member states have been trending downward in recent months
More recently, coincident indicators of real economic activity have also fallen, suggesting that the Euro Area has entered a period of recession
European policy makers may continue to “muddle through” the crisis, taking some necessary but insufficient action to generate a quick recovery
While the probability is small, anxiety about a disorderly resolution of the Euro Area crisis remains high and explains why 2012 growth prospects are weakening further
Structural improvements to support growth and competitiveness are also needed, but remain in short supply