Spain posts 0.9% growth
Newsflash: Spain has recorded another strong quarter of growth, beating both the UK and France.
Spanish GDP rose by 0.9% in the last three months, new figures from statistics body INE show.
That’s three times as fast Britain managed during the quarter, and nearly double France’s growth rate.
That’s up from 0.8% in the first quarter of 2017, and means Spain’s economy has now grown for 15 quarters in a row (or nearly four years).
On an annual basis, Spanish GDP grew by 3.1%.
More to follow….
Ouch. Shares in BT have fallen by 1.7% at the start of trading after posting a 40% drop in profits.
My colleague Mark Sweney explains why….
BT’s profits slumped more than 40% in the first quarter of its new financial year after it was forced to pay out £225m to two shareholders following the accounting scandal at its Italian operation.
Deutsche Telekom and Orange became shareholders in BT after the company struck a £12.5bn cash and shares deal to buy mobile company EE in 2015.
As part of that deal the two companies were issued a warranty as a protection against a slump in BT’s performance.
DT and Orange triggered a claim under the warranty after BT’s stock market value plunged by almost £8bn, after the company revealed the extent of a £530m accounting scandal at its Italian operation. BT’s share price remains more than 20% lower that it was a year ago.
The news that France’s economy grew by a healthy 0.5% last quarter should reassure investors, says Naeem Aslam of Think Markets:
Over in Europe, the French GDP data brought more light for the Eurozone’s economy. The problem child of the Eurozone is no longer a problem child, in fact, it has grown up and living up to the expectations.
Bloomberg journalist Mark Deen…