LONDON: Global shares eased on Wednesday as optimism over the pace of recovery from COVID-19 that propelled markets to record highs was fizzling out in the face of more lockdowns in continental Europe.
The Ifo Institute said Germany's extended lockdown is delaying recovery, cutting its 2021 growth forecast for Europe's biggest economy to 3.7per cent from 4.2per cent previously. A 2per cent bounce in oil after hefty losses overnight was capped by the prospect of lower fuel demand because of continued lockdowns, though analysts said the drop should ease upward pressure on bond yields and diminish the"inflation scare" in markets recently.
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