The Euro zone economy grew much less than expected at the start of the year and inflation remained locked in the 'danger zone' below one per cent, increasing pressure on the European Central Bank to ease monetary policy at its next meeting in June.
The Euro 9.5-trillion economy expanded only 0.2 per cent quarter-on-quarter in the first three months of 2014, the same as the downwardly revised rate in the last quarter of 2013, while economists had expected 0.4 per cent growth. The first quarter figure stayed positive mainly thanks to strong growth in the biggest economy Germany, which compensated for stagnation in France and shrinking output in Italy, the Netherlands, Portugal and Finland.
