<ul><li>German economy is already contracting</li><li>Situation to get worse as gas consumption is cut or rationed</li><li>The economy is likely to shrink even if outright rationing is avoided</li><li style=““ class=“text-align-justify“>Economic activity may pull back somewhat this quarter and shrink markedly in autumn, winter months</li></ul><p style=““ class=“text-align-justify“>The bright spot is that they do not expect the adverse scenario published in June, which saw the economy contracting by 3.2% next year, to materialise at least. But nonetheless, a looming recession will keep the dark clouds hanging over the euro in the months ahead and the gas/energy crisis will only be amplified again next year.</p>

This article was written by Justin Low at forexlive.com.