The eurozone economy was expected to lose momentum in the second quarter of 2026.

Instead, it surprised to the upside.

Eurostat's preliminary estimate showed GDP expanding by 0.4% quarter-on-quarter, up from flat growth in the first quarter and ahead of economists' expectations for a 0.2% increase.

Across the European Union, growth accelerated to 0.5%, from 0.1% previously. Annual growth also strengthened, reaching 1.0% in the euro area and 1.2% across the EU.

At first glance, the figures suggest the bloc is proving more resilient than feared despite higher energy prices and continued geopolitical uncertainty.