In its Quarterly Global Economic Outlook released on Tuesday, the International Monetary Fund lowered the global economy’s growth outlook, it seems that there will be more downgrades in the coming reports.
Bloomberg Economics global GDP tracker proposes the global economy grew at an annualized rate of 2.4 percent in the second quarter. This would be too far from the IMF’s latest outlook.
The IMF lowered its forecast for global growth, already at its lowest level since the financial crisis, and suggested that "wrong steps" in trade policy and Brexit could hamper an expected recovery.
The world economy will grow by 3.2 percent in 2019 and 3.5 percent in 2020, both less than April's forecasts by 0.1 percent, where the rate of 3.3% or less will be the weakest since 2009.
The IMF also lowered its growth forecast swelled in world trade volume in goods and services, reducing its estimate by 0.9 points to 2.5 percent in 2019.
However, the IMF has seen world trade slowdown further this year as a result of trade tensions, as it expects to rebound to 3.7 percent growth in volumes in 2020, at the same pace as 2018.
In the meantime, the dollar index, which measures the
performance against six major currencies, fell by 0.08 percent to 97.35.