Euro zone revival better than predicted: analyst

The weakening euro is contributing to a boost in the euro zone's economy, while a strengthening U.S. dollar could increase the price of certain goods imported into Slovakia from non-European countries, announced J&T Bank analyst Stanislav Panis on tablet.tv on Thursday.

The U.S. dollar has strengthened by as much as 25 percent against the euro over the past year. "The American economy has been doing very well over the past 12 months, with its revival being pretty robust when compared to the situation in the euro zone," said Panis.

Meanwhile, a weaker euro is contributing to an economic revival in the euro zone.

"This can also be seen from actual data in the euro zone that has been significantly improving over the past months. The mood among financiers and analysts also suggests that the revival of the euro zone's economy may be somewhat better than estimates from late 2014 and early 2015," Panis pointed out.

A weak euro mainly helps exporters, including Germany, which is one of the world's largest exporters. This will also trickle down to Slovakia due to the fact that the country's economy is strongly linked to the German one, added Panis.

Conversely, a strong U.S. dollar may lead to gradual price increases in goods such as electronics, certain medicines, and holiday trips to countries using the U.S. currency, for example. "At the same time, if it hadn't been for the weak euro, we could be refuelling at even cheaper prices," said Panis. Enditem