German Preliminary GDP contracts 0.2% QoQ in Q4 vs. -0.1% expected

• German GDP declines 0.2% QoQ in Q4 vs. -0.1% anticipated.
• Annual German GDP contracts 0.2% in Q4 vs. 0% estimate.
• EUR/USD stays defensive following the downbeat German Q4 GDP report.

The German economy contracted by 0.2% over the quarter in the fourth quarter of 2024, following a 0.1% expansion in the third quarter, according to the preliminary data published by Destatis on Thursday. Markets expected a 0.1% decline.

Meanwhile, the annual GDP rate fell by 0.2% in Q4 after -0.3% reported in Q3 and against the estimated 0% print.

EUR/USD reaction to the German GDP data