THE S&P Global cut its projections for GDP growth (GDP ) global in 2022, from 2.9% to 2.7%, and in 2023, from 2.9% to 2.6%.
According to the institution, the reduction this year reflects the “weaker” performance of the US economy. United States in the first half, while the review for 2023 was due to the prospect of tighter financial conditions, as most of the world’s main central banks raise interest rates to contain the escalation of inflation .
The agency projects US GDP growth of 1.4% in 2022 and 1.3% in 2023.
To the euro zone , is forecast to rise by 2.5% in 2022, before slowing to 1.2% the following year. The GDP of China should grow 4.0% in 2022 and 5.2% next year.
There is a 40% to 50% chance that the world’s largest economies will enter recession, according to S&P Global.
In an environment of higher funding costs, investors must move to safe assets and, in this way, strengthen the dollar and put pressure on emerging market markets, predicts S&P Global.
The agency also highlights that the real estate sector will suffer more from the increase in interest rates, since higher prices will reduce demand and cause a severe readjustment in this market.
Already in relation to inflation global prices are projected to rise 7.3% in 2022, before slowing to a high of 4.2% in 2023 and 2.7% in 2024.
According to S&P Global, the prices of commodities started to fall and should extend this movement, driven by the strengthening of the dollar in the face of the Federal Reserve’s interest rate hike (fed ).
Source: CNN Brasil
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