Eurozone: Weak growth forecast faces downside risks.

The article discusses the weak growth forecast for the Eurozone and the downside risks it faces. The European economy has stagnated, and recent data shows contraction in GDP, mainly driven by subdued activity in Germany and Italy. Inflation has eased, but core components are expected to reach the target by the end of next year. The European Central Bank has raised interest rates, but there are concerns that inflation and activity will slow more than expected. Tighter credit conditions and moderately restrictive fiscal policy are also affecting the economy. [Extracted from the article]