Italy's economy grew by 0.3% on a quarterly basis in the first quarter of 2018, after seasonal and calendar adjustments, in line with the preliminary estimate by the country's National Institute of Statistics, and unchanged from the fourth quarter of 2017.
Gross fixed capital formation fell 1.4% in the first quarter, while imports and exports declined by 0.9% and 2.1%, respectively, from the previous quarter.
On a year-over-year basis, first-quarter 2018 GDP was up 1.4%. Imports and exports climbed 2.7% and 1.3%, respectively, and gross fixed capital formation rose 4.5% from the prior-year quarter.
Italian GDP growth is expected to rebound in the second quarter of 2018 "as the fundamentals of both the household and corporate sector appear well-oriented," said Guy Stear, analyst at Société Générale, in a June 1 note prior to the official data release.
He added that the eurozone's third-largest economy will likely expand 1.6% for the full year 2018, but warned of downside risks stemming from "political fallout" and the surge in bond yields.
