It predicts that the 13-nation euro area will grow 2.5 percent in 2007, down from an earlier forecast of 2.6 percent, while the entire EU should expand 2.8 percent instead of 2.9 percent. Inflation in the euro area would be slightly higher than expected, up 0.1 percentage point to 2 percent, taking it just above the European Central Bank guideline for deciding to raise interest rates.
The EU's executive arm insisted that Europe had been in good shape before the August financial turmoil, when banks became reluctant to lend amid fears of spiraling losses from the U.S. housing loan market.
"Fundamentals continue to be sound," it said, refusing to quantify the possible impact on the global economy but saying it had increased uncertainty.
The crisis could affect confidence and growth to a greater extent in the fourth quarter, it warned, and force growth to slow down more markedly next year.
Putin's official spokesman Dmitry Peskov commented on remarks in the US media about failures in launching nuclear-capable missiles in Russia
The Buk system that shot down MH17 belonged to the 53rd SAM missile brigade of the Russian Ministry of Defense, investigators say after looking at a few pictures on the net
It has long been understood that the West has been trying to subject Russian borders to total control. We have not seen such activity even during the Cold War