EU executive cuts euro zone growth forecasts because of U.S. trade war

BRUSSELS (Reuters) -The euro zone economy will grow more slowly this year and next because of the trade war started by the United States and uncertainty over when and how it will end, the European Commission said on Monday. In a forecast for the 27 countries of the European Union and the 20 countries sharing the euro currency, the EU executive arm said euro zone gross domestic product will grow only 0.9% this year, rather than the 1.3% expected last November. In 2026, euro zone growth should accelerate to 1.4%, but that would be still lower than the 1.6% the Commission had expected six months ago.