Global growth forecasts raised – HSBC

Sandeep Kanihama FXStreet Contributor

Analysts at HSBC have raised their global growth forecasts for the next two years as the synchronized upturn continues while the inflation remains subdued.

Key Quotes

“Largely as a result of an upgrade to the Eurozone, we recently lifted our global growth forecast by 0.1% to 2.8% in each of 2017 and 2018. This compares with a 2.5% average between 2011 and 2016, which is good news, but much less spectacular than the recent stellar financial market performance might suggest.”

“Our initial projections for 2019 point to a further expansion in the global economy but with no meaningful rise in inflation. In the US, we expect “Japan-lite” growth of about 2%, with further declines in the unemployment rate, but still very little pick-up in productivity growth or labour’s bargaining power. For central banks, the risk of a policy error is rising.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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