International credit rating agency Moody's has said that the outlook for the European steel industry is stable and reflects the expectations for the fundamental business conditions in the industry over the next 12 to 18 months.
Moody's pointed out that the euro area economy is improving, although recovery is fragile. Moody's latest macroeconomic forecast is for euro area GDP growth of 0.5-1.5 percent in 2014 versus flat to a one percent contraction in 2013 and there are signs that economic activity may be bottoming out in peripheral states. In Russia, Moody's forecasts GDP growth of 2.5 -3.5 percent in 2014 after a slowing to 1-2 percent in 2013, which the rating agency expects to help growth in steel end-user markets.