U.S. Markets

Economists trim euro zone's inflation and growth forecasts: ECB survey

A woman buys bread on a supermarket in Lisbon August 30, 2011. REUTERS/Jose Manuel Ribeiro

FRANKFURT (Reuters) - Economists are trimming their inflation and growth forecasts for the euro zone and warning of the risk of further cuts as uncertainties ranging from Brexit to trade wars make companies more reluctant to invest, a European Central Bank survey showed on Thursday.

The ECB’s quarterly Survey of Professional Forecasters showed prices were now expected to grow by 1.4 percent this year, 1.5 percent the next and 1.6 percent in 2020 - a cut of 10 basis points in each year compared to January’s survey.

Reporting By Francesco Canepa; Editing by Angus MacSwan