Synchronised global upswing - BNPP

According to the analysts at BNP Paribas, economic surveys point to a synchronised global upswing with growth prospects seemingly improving both across developed and emerging countries.

Key Quotes

“While the latest hard data in certain economies have been a mixed bag, the momentum in world trade – usually a good guide to the overall pace of global growth – is the strongest since July 2010. As the US capex cycle starts to blossom and China’s industrial performance remains solid, we expect trade dynamics to stay robust for at least the next few months, supporting a self-sustaining global growth recovery ahead.”

“The main downside risks we see pertain to global trade relations, rising inflation, reducing households’ purchasing power, and economic policies, which may deliver somewhat less stimulus than previously envisaged.”