This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Is Europe All Better Now?

NEW YORK ( TheStreet) -- Ever been in the hospital, wondering if you were going to die, and the doctor comes in to say that while you're sick he thinks you're going to recover?

Europe is like that right now.

The economies of the Eurozone grew by 0.3% in the second quarter of this year, with production of consumer goods leading the way. Most European exchanges rose slightly on the news, and the euro was basically unchanged against the dollar, at $1.32.

You could almost hear the relief across the continent.

Figures released by Eurostat show a wide disparity in growth rates. Countries where austerity has lifted, like Germany, grew their economies. Countries where austerity remains in place, like Greece, continued to contract.

The strength came from the center of the continent, from Germany and France. Germany grew 0.5% over a year ago, France 0.3%, and between them these countries hold 40% of the Eurozone's population.

Spain and Italy, the zone's other two big economies, were down 1.7% and 2%, respectively. Together Germany, France, Spain and Italy represent 74% of the zone's economy, according to Trading Economics.

The best economic performances were turned in by the Baltic countries bordering Russia. Latvia and Lithuania were both up over 4% from a year ago. But the Depression remained in force in Greece and Cyprus, both of which were down over 4% from a year ago.

If you're looking for a comparable number, the U.S. was up 1.4% from a year ago, according to Eurostat's figures.

The German economy seems to be where the economic power lies. The Center for European Economic Research in Mannheim said its ZEW index of economic confidence rose by 5.7% in Germany this month.

Most of the commentary on all this was restrained. Analysts expect continued slow growth with a risk of political instability that could bring on another round of contraction.

No one in Europe is popping the champagne corks, in other words. Except perhaps for bankers.

The zone's 10 biggest banks were all profitable during the first half of the year, and the huge writedowns that marked the heart of the crisis appear to be over.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs