The World Bank has revised down its forecast for global growth by 1.2 percentage points to 2.9% in 2022, from 5.7% in 2021.
Stabilizers are moving today bond yields as the World Bank warned of the risk of a global economic downturn.
More specifically, The World Bank has revised down its forecast for global growth by 1.2 percentage points, at 2.9% for 2022, from 5.7% in 2021, warning that Russia’s invasion of Ukraine has widened the damage from the Covid-19 pandemic, with many countries likely to face recession. Growth in advanced economies is expected to slow sharply to 2.6% in 2022 and 2.2% in 2023, having reached 5.1% in 2021.
The report warned that interest rate hikes needed to control inflation in the late 1970s were so sharp that they hit a global recession in 1982 and a series of financial crises in emerging markets and emerging economies. Although there are similarities with the situation then, there are also significant differences, such as the strength of the US dollar and generally lower oil prices, as well as generally strong balance sheets in large financial institutions.
The Russian invasion of Ukraine had exacerbated the slowdown in the world economy, which is now entering “a prolonged period of weak growth and high inflation,” the World Bank said.
At HDAT, transactions of 46 million euros were recorded, of which only 12 million euros related to purchase orders. The yield on the 10-year bond stood at 3.80% from 3.84% yesterday against 1.29% of the corresponding German bond, resulting in a margin of 2.51% from 2.55%.
In the foreign exchange market, the euro is moving slightly down against the dollar, as the European currency traded early in the afternoon at $ 1.0678 from the level of 1.0643 dollars that opened the market.
The indicative price for the euro / dollar exchange rate. announced by the ECB reached $ 1.0662.
