Global Growth: Rock Steady
Global economic growth continues to be respectable and broad based, with only a few laggards. The current selloff hasn’t changed this, and the synchronization of this economic growth remains intact.
Europe’s Synchronized Growth
Four months into the year and the global economy is in the midst of synchronized growth that should allow it to grow around 3.5 percent this year. China’s solid growth, India’s recovery after the monetarization jitters and the eurozone’s stronger-than-expected growth have been the catalysts for the strong showing this year.
The Consensus is Wrong
Recent weakness in global equity markets reflects the increasing risk of recession and growing realization that central banks’ ability to promote sustainable economic expansion through monetary policy has waned. Estimates from Wall Street’s hive mind have yet to reflect these realities.
