Strong eurozone investment recovery predicted for 2006

After three tough years for the European economy, Axa Investment Managers is confident the trend has now been reversed. It says business conditions have shown significant improvement not only in Germany but throughout the euro area, driven by the rebound in investment. The group also predicts the internal components of euro area activity will firm up in 2006, as both household and corporate spending gain speed. Gross domestic product (GDP) is expected to progress by 2.1% and will become more balanced as internal demand also rises by an estimated 2%. Laurence Chieze-Devivier, a strateg...