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Euro area growth exceeded expectations in Q3, although a more challenging Q4 is expected. Inflation remains high due to rising energy prices, while the US economy is buoyant and emerging economies, led by China, continue to prove remarkably resilient to the energy shock. Euro area GDP grew more than expected in Q3 2026 (+0.4% quarter on quarter vs. +0.6% in the previous quarter), although the figure was again distorted by Ireland. Excluding Ireland, euro area GDP grew by 0.2% quarter on quarter (vs. 0.3% in the previous quarter). Although growth slowed compared to Q2, it confirmed the continued resilience of economic activity in the face of the energy shock. Trends varied across countries.
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