-
Advertorial
-
FOCUS
-
Guide
-
Lifestyle
-
Tech and Vogue
-
TechandScience
-
CHTF Special
-
Nanhan
-
Futian Today
-
Hit Bravo
-
Special Report
-
Junior Journalist Program
-
World Economy
-
Opinion
-
Diversions
-
Hotels
-
Movies
-
People
-
Person of the week
-
Weekend
-
Photo Highlights
-
Currency Focus
-
Kaleidoscope
-
Tech and Science
-
News Picks
-
Yes Teens
-
Fun
-
Budding Writers
-
Campus
-
Glamour
-
News
-
Digital Paper
-
Food drink
-
Majors_Forum
-
Speak Shenzhen
-
Business_Markets
-
Shopping
-
Travel
-
Restaurants
-
Hotels
-
Investment
-
Yearend Review
-
In depth
-
Leisure Highlights
-
Sports
-
World
-
QINGDAO TODAY
-
Entertainment
-
Business
-
Markets
-
Culture
-
China
-
Shenzhen
-
Important news
在线翻译:
szdaily -> World Economy
Global economy well on way to faster, firmer growth
    2017-August-22  08:53    Shenzhen Daily

THE world economy looks well on its way to a year of faster, firmer growth after rising at its most rapid pace in two and a half years in the second quarter.

The expansion is broad based as long-time laggards Japan and the euro area perk up. Even more encouraging: The gains look sustainable because they’re not generating much in the way of inflation or other excesses that frequently presage a downturn, economists said.

“The global economy is in better shape than it has been in several years,” said Torsten Slok, chief international economist at Deutsche Bank AG in New York. “We just don’t see what would be a trigger for a recession.”

Global gross domestic product is projected to increase by 3.4 percent in 2017 and 3.5 percent in 2018, according to the median forecast of economists surveyed. While that would be a comedown from an estimated 4 percent plus pace in the second quarter, it would still represent a clear acceleration from last year’s 3.1 percent advance.

“Recent data point to the broadest synchronized upswing the world economy has experienced in the last decade,” International Monetary Fund chief economist Maurice Obstfeld wrote in a recent blog post. “World trade growth has also picked up, with volumes projected to grow faster than global output in the next two years.”

The pick-up has been paced by budding rebounds in Europe and Japan, two economies that until now had been seen as drags on the global economy.

After years of lackluster growth, the euro area economy is starting to build momentum. The expansion accelerated to 0.6 percent in the second quarter, and it’s more evenly spread across the 19-nation region than in the past. The Netherlands posted the strongest data in a decade and Italy, long an slouch in the region, may see the best performance since 2010 this year.

That’s good news for European Central Bank President Mario Draghi, who wants to make sure the recovery is well established before reining in stimulus.

A 4 percent annualized surge in Japanese gross domestic product in the second quarter put the nation in an unexpected spot: at the top of the growth table among the Group of Seven industrial economies.

The strongest domestic demand in years helped drive Japanese gross domestic product to a sixth consecutive quarter of expansion, elevating hopes for a sustainable recovery in an economy that’s been better known in recent years for tepid inflation and a declining population than beating forecasts.

“We have just begun to see more convincing evidence that domestic demand is finally picking up,” said Kathy Matsui, chief Japan strategist at Goldman Sachs Group Inc.

While the unexpected strength in Europe and Japan is providing fuel for the global upswing, the expansion’s fate ultimately rests on the performance of the world’s two biggest economies, the United States and China. And there the omens are favorable.

JPMorgan Chase & Co. last week raised its forecast for U.S. growth in the third quarter to an annualized 2.25 percent from 1.75 percent. The move followed news of an unexpectedly strong rise in retail sales in July. Gross domestic product rose 2.6 percent in the second quarter. (SD-Agencies)

深圳报业集团版权所有, 未经授权禁止复制; Copyright 2010, All Rights Reserved.
Shenzhen Daily E-mail:szdaily@szszd.com.cn