BENGALURU - Most major economies have likely averted recession for now but growth will remain subdued in 2020, according to Reuters polls, despite the recent round of central bank stimulus and signs of a preliminary truce in the U.S.-China trade war.
That will have implications for financial markets, which had a banner year in 2019, with Wall Street near a record and other equity markets flying high on was is only a slightly-improved economic backdrop and tentative steps on trade. A modest U.S. economic growth outlook has barely budged following three interest rate cuts from the Federal Reserve this year, and even with economists now reasonably confident an initial Washington-Beijing trade deal will be signed.
Other major central banks were also forecast to stay on the sidelines in 2020, according to economists in Reuters polls.
Rebalancing of new demand is creating a global congestion.
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