For now, at least. There are plenty of signs pointing in the direction of trouble ahead as unemployment is surely set to move up in the autumn. Then again, driving across France this summer I've been impressed with the number of active infrastructure projects. Whether it's enough to help balance out the other problems remains to be seen though.
Shares in London closed tonight at their highest level this year after an unexpected return to growth in Germany and France – the eurozone's two powerhouse economies – boosted hopes of recovery from the severest financial crisis since the 1930s.And no, share prices mean nothing in this case beyond the market reacting on that specific day to the news.
The City's FTSE 100 closed 38.7 points up at 4755.46 – a level not seen since early October when bourses around the globe were gripped by panic in the aftermath of the collapse of Lehman Brothers.
Both Germany and France reported that output had grown by 0.3% in the three months to June – bucking market fears of a fresh contraction in activity and far exceeding the performance of the UK, which contracted by 0.8% over the same period.
