{"id":550449,"date":"2022-10-27T03:59:00","date_gmt":"2022-10-27T03:59:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/27\/coming-recession-could-be-short-and-shallow-say-economists\/"},"modified":"2022-10-27T03:59:00","modified_gmt":"2022-10-27T03:59:00","slug":"coming-recession-could-be-short-and-shallow-say-economists","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2022\/10\/27\/coming-recession-could-be-short-and-shallow-say-economists\/","title":{"rendered":"Coming recession could be short and shallow, say economists"},"content":{"rendered":"

<\/a> The global economy could be heading into a recession \u2014 but it might not be so <\/strong>bad: <\/strong>Economists polled by Reuters<\/a> see the global economy growing at just a 2.3% clip next year as a recession becomes more certain amid spiraling inflation and volatility in global markets. Only six out of the 22 central banks polled expect to reach their inflation targets this year \u2014 raising concerns among economists that banks will continue to hike rates in a bid to tamp down on inflation. On the bright side, the poll showed the smallest gap between growth rates and unemployment in at least four decades, pointing to a common view among economists that the recession will not be too severe.<\/p>\n

Wall Street has conflicting views on the outlook for EM equities:<\/strong> Morgan Stanley thinks emerging market equities have bottomed out and is forecasting an average 14% rise across global EM exchanges by next summer, the Financial Times<\/a> reports. Goldman Sachs is more defensive, saying there\u2019s no one \u201ccoherent\u201d story across EMs. The benchmark MSCI index of EM stocks is down c.30% since early January, largely thanks to China\u2019s economic downturn and the US Fed\u2019s tightening cycle. A massive USD 2.1 tn has flown out of EM stocks this year, while bond funds have racked up USD 70 bn of outflows.<\/p>\n

ALSO WORTH NOTING-<\/strong><\/p>\n