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Smaller companies all too often endure severe financial problems due to the late payment of bills. For over a year the European Parliament has pushed to secure stricter and clear-cut rules on payment periods, including a general 30-day deadline. On Tuesday, the Internal Market Committee voted to endorse the deal struck with Council on 13 September.

In August 2010, compared with July 2010, the volume of retail trade decreased by 0.4% in the euro area (EA16) and by 0.3% in the EU27. In July retail trade rose by 0.1% in both zones.

Between 2000 and 2009, EU27 trade in goods with China tripled in value. EU27 exports to China rose steadily from 26 billion euro in 2000 to 82 bn in 2009, while imports rose from 75 bn in 2000 to a peak of 248 bn in 2008 and then fell to 215 bn in 2009. As a result, the EU27 trade deficit with China increased significantly, from 49 bn in 2000 to 170 bn in 2008 and then dropped to 133 bn in 2009. The data for the first half of 2010 show a strong growth in EU27 trade with China. EU27 exports to China increased from 37 bn in the first half of 2009 to 53 bn in the first half of 2010 and imports rose from 103 bn to 125 bn. The trade deficit grew from 65 bn to 71 bn.

The Third Quarter 2010 edition of the Quarterly Report on the Euro Area highlights that although output growth in most euro area Member States has improved, the ongoing balance sheet adjustment process in the corporate sector will influence the recovery ahead. The analysis of previous episodes of corporate balance sheet adjustment shows that they have been associated with sizeable negative macroeconomic consequences, including weak GDP growth due to lower investment rates and falls in labour compensation. It is therefore crucial to counteract these dampening forces on growth by frontloading growth-enhancing reforms. Furthermore, the Report looks into past episodes of adjustments to large current account deficits as well as misalignments in house prices in the euro area.

In August 2010 compared with July 2010, the industrial producer price index rose by 0.1% in the euro area (EA16) and remained stable in the EU27. In July 2010, prices increased by 0.2% in both zones.

The annual growth rate of M3 increased to 1.1% in August 2010, from 0.2% in July 2010. The three-month average of the annual rates of change of M3 over the period June 2010 - August 2010 rose to 0.5%, from 0.1% in the period May 2010 - July 2010.

In August 2010 most of the average MFI interest rates on new deposits decreased, while the MFI interest rates on loans showed uneven developments. Average MFI interest rates on outstanding amounts of deposits and loans remained basically unchanged.

The euro area (EA16) seasonally-adjusted unemployment rate was 10.1% in August 2010, unchanged compared with July. It was 9.7% in August 2009. The EU27 unemployment rate was 9.6% in August 2010, also unchanged compared with July. It was 9.2% in August 2009.

In September, the Economic Sentiment Indicator (ESI) continued to improve in both the EU and the euro area. The indicator increased only marginally, by 0.3 of a point in the EU and, more significantly, by 0.9 of a point in the euro area, to 103.4 and 103.2 respectively. In both the EU and the euro area the ESI stands above its long-term average.