The Eurozone economy expanded by 0.2% on the quarter in the three months to September of 2022, meeting the 0.2% expected and 0.8% previous, the preliminary release showed on Monday. 

On an annualized basis, the bloc’s GDP rate increased by 2.1% in Q3 vs. 4.1% booked in the second quarter of 2021 while matching 2.1% expectations.

Also read: Eurozone Preliminary Inflation soars 10.7% YoY in October vs. 9.8% expected

Market reaction

EUR/USD was last seen trading at 0.9939, down 0.25% on the day. The euro failed to capitalize on the red-hot Eurozone inflation data and in line with expectations GDP data, as the focus remains on the Fed meeting this week.

About Eurozone Preliminary GDP

The Gross Domestic Product released by Eurostat is a measure of the total value of all goods and services produced by the Eurozone. The GDP is considered as a broad measure of the Eurozone's economic activity and health. Usually, a rising trend has a positive effect on the EUR, while a falling trend is seen as negative (or bearish).