Europe succumbing to global economic woes

The European economy, until now resilient in the face of choppy financial markets and slowing global growth, is finally buckling.

The economy of the 15-nation euro area contracted 0.2 percent in the three months ended June 30, data released Thursday showed, in what was the first quarterly shrinkage since the euro was introduced on Jan. 1, 1999. Figures released in Germany, France and Spain also showed receding or flat growth.