The flash data were surprisingly revised weaker in the final report, trimming quarterly growth by a couple of ticks to just 0.1 percent and the annual increase by 0.1 percentage point to 0.5 percent. However, the first quarter was also adjusted a little stronger and now also shows a 0.1 percent quarterly gain.

The first look at the GDP expenditure components revealed another soft period for household consumption which was unchanged on the quarter, in line with its first quarter performance. Gross fixed capital formation rose 0.3 percent for a second quarter running and current government spending increased 0.2 percent. Business inventories had a positive impact, boosting growth by 0.4 percentage points but this was fully offset by net foreign trade as exports fell 0.7 percent and imports edged up 0.1 percent.

Regionally, the update confirmed that the quarterly increase in total output masked a (steeper revised) 0.4 percent contraction in Italy and stagnation in Germany. Rather, the advance came largely courtesy of France (unrevised 0.5 percent) - where the rate would have been negative but for net exports and inventories - and Spain (unrevised 0.4 percent). Elsewhere, growth in Ireland, previously put at some 3.3 percent, was slashed to just 0.5 percent leaving Lithuania (2.9 percent), Slovenia (1.4 percent) and Greece (1.3 percent) as the best performing member states. By contrast, there were declines in a number of countries, including the Netherlands (0.3 percent) which joined Estonia (minus 0.2 percent) in recession.

The second quarter update is probably too historic to have much impact on next week's ECB meeting. Still, it underlines the softness of private sector domestic demand and may be used by the doves as additional ammunition as they call for no change in key interest rates. To this end, today's report puts the Eurozone ECDI at minus 10 and the ECDI-P at minus 26 showing overall economic activity still lagging well behind market expectations.

No revisions are expected to the flash data leaving a 0.3 percent quarterly gain and 0.6 percent annual growth.

Gross domestic product (GDP) is the broadest measure of aggregate economic activity and encompasses every sector of the economy and is usually released early in the third month after the reference period. Following two provisional (flash) estimates containing only limited information, this report provides the first full look at the national accounts for the region.

GDP is the all-inclusive measure of economic activity. Investors need to closely track the economy because it usually dictates how investments will perform. Stock market Investors like to see healthy economic growth because robust business activity translates to higher corporate profits. The GDP report contains a treasure-trove of information which not only paints an image of the overall economy, but tells investors about important trends within the big picture. These data, which follow the international classification system (SNA93), are readily comparable to other industrialized countries. GDP components such as consumer spending, business and residential investment, and price (inflation) indexes illuminate the economy's undercurrents, which can translate to investment opportunities and guidance in managing a portfolio.

Each financial market reacts differently to GDP data because of their focus. For example, equity market participants cheer healthy economic growth because it improves the corporate profit outlook while weak growth generally means anemic earnings. Equities generally drop on disappointing growth and climb on good growth prospects.

Bond or fixed income markets are contrarians. They prefer weak growth so that there is less of a chance of higher central bank interest rates and inflation. When GDP growth is poor or negative it indicates anemic or negative economic activity. Bond prices will rise and interest rates will fall. When growth is positive and good, interest rates will be higher and bond prices lower.

Currency traders prefer healthy growth and higher interest rates. Both typically lead to increased demand for a local currency. However, inflationary pressures can put downside pressure on a currency regardless of growth. For example, if inflation remains above the ECB’s near-2 percent target for long enough, worries about the impact of lost competitiveness on the merchandise trade balance could prompt investors to switch to an alternative currency.