Euro zone growth rate beats expectations

The eurozone economy expanded by a better than forecast 0.4 percent in the first quarter of 2019, official data showed on Tuesday, dampening talk that a recession in Europe is around the corner.

The reassuring announcement broke a series of worrying economic figures for Europe that showed a lacklustre economy beset by looming political risks such as Brexit and weaker global growth.

The figure exceeded the expectations of analysts interviewed by data company Factset that forecast just 0.3 percent growth. At an annual rate, growth in the 19 countries that use the euro was 1.2 percent, the same result as in the previous quarter, according to the first estimate of the European statistics agency.

Analysts warned, however, that the uptick in eurozone growth would not last.