The Financial Times reports that economic forecasts from Brussels will are expected to highlight some of the difficulties EU countries face in terms of economic prospects.
The European Commission is poised to revise down its growth forecasts for the euro area and wider EU, pointing to a slowdown in the manufacturing sector, not least in Germany. Brussels will also warn that unpredictable trade tensions threaten even this less-than-rosy outlook.
While the commission has been planning to welcome the ongoing US-China trade talks as a boost for global economic stability, this was undermined by US president Donald Trump’s unexpected Sunday Twitter announcement of more punitive tariffs against Chinese imports.
Other risks to the forecast include the lack of clarity around Brexit. UK prime minister Theresa May’s deal is in limbo and Britain is due to leave on October 31, with or without an agreement.
Via FT
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