The European economy is performing better, showing stabilizing signs after a decline at the fastest pace in at least 15 years in the first quarter. European business confidence rose for 30 percent in June, according to results showed this week. Jean-Claude Trichet, European Central Bank President assumed this month the worst of the recession may be past after the ECB shortened interest rates to a significantrecord low and promised to buy covered bonds to fight the crisis.

The euro-area economy may shrink about 4.6 percent this year and around 0.3 percent in 2010 accordingto the ECB forecasts. Trichet stated that the economy may contract "at much less negative rates" since July the year. In the first quarter, gross domestic product slid 2.5 percent.