World Bank on global growth
- Global growth to reach 5.6% 2021 up from 4.1% in January. Strongest postrecession pace in 80 years
- Gains in global growth comes after a -3.5% contraction in 2020
- Forecasts 2022 global growth at 4.3% and 2023 growth at 3.1%
- Increasing global growth reflects stronger US fiscal support, and highly unequal vaccine access
- Sees US 2020 growth that 6.8%. That is up from 5.5% in January. In 2020 the US contracted by -3.5%
- Sees China's 2021 growth at 8.5% versus January's 7.9%. Contracted -2.3% in 2020.
- Sees global inflation to rise about one percentage point in 2021. May not warrant a policy response
- Long-term expectations point to continued low and stable inflation.
- Market concerns about persistent higher inflation in advanced economies could cause emerging market borrowing costs to rise
- Sees emerging markets ex-China growth at 4.4% in 2021 versus 3.4% estimate in January. In 2020 emerging markets ex-China felt -4.3%
Some pretty decent increases in growth forecasts. Not much on inflation in their report which is the driving force for the markets. The US CPI data will be released on Thursday with expectations of a 0.4% rise after a 0.8% increase last month.