Morgan Stanley on Monday cut its 2020 growth prediction for the euro area to just 0.4% from 0.9%. Nomura downgraded its full-year view to 0.4% as well.
At Berenberg, economists are also predicting a euro-zone recession, with huge slumps of at least 0.4% this quarter and next. The economy won’t even eke out growth over the full year, it said.
Its latest predictions include a 1.2% slump in Italy this year, while Germany, Europe’s largest economy, will contract by 0.4%.
--With assistance from Catherine Bosley.
This article was provided by Bloomberg News.