The euro-zone has shifted down a gear but has not (yet) gone into reverse. Italy probably experienced a technical recession last year and Germany only narrowly avoided one. More importantly, the breadth of the downturn, which affected all major countries and most industries, means it cannot be dismissed as a minor local or sectoral difficulty. Instead, it seems to result from fading household consumption growth and, to a less extent, slower demand in China and the UK. Declining business confidence…