Jump to content
House Price Crash Forum
Sign in to follow this  
interestrateripoff

Risks To Global Economy Have 'risen Significantly', Top Imf Official Warns

Recommended Posts

http://www.telegraph.co.uk/finance/economics/7812903/Risks-to-global-economy-have-risen-significantly-top-IMF-official-warns.html

“After nearly two years of global economic and financial upheaval, shockwaves are still being felt, as we have seen with recent developments in Europe and the resulting financial market volatility,” Naoyuki Shinohara, the IMF's deputy managing director, said in Singapore on Wednesday. “The global outlook remains unusually uncertain and downside risks have risen significantly.”

Countries across Europe are under pressure to tackle their deficits that were deepened by the financial crisis and governments own response to it. Some economists fear that moves by countries ranging from Britain to Spain to rein in public spending at the same time will set back a global recovery.

Stock markets have declined in the past couple of months as Europe's debt crisis and the prospect of higher interest rates in the faster-growing Asian economies cast a shadow over the recovery.

“Adverse developments in Europe could disrupt global trade, with implications for Asia given the still important role of external demand,” Mr Shinohara said. “In the event of spillovers from Europe, there is ample room in most Asian economies to pause the withdrawal of fiscal stimulus.”

Mr Shinohara, the former top currency official in Japan, added that "a key concern is that the room for continued policy support has become much more limited and has, in some cases, been exhausted.”

Weren't the IMF a few months ago talking up the recovery? Now all of a sudden the risks have increased?

Share this post


Link to post
Share on other sites

http://in.reuters.com/article/idINIndia-49160220100609

Europe's debt crisis could disrupt global trade, hurting demand for Asian exports and sending "hot money" into the region if policymakers fail to act swiftly and appropriately, a top IMF official said on Wednesday.

Although Asia has limited financial links to euro zone economies, its stronger growth prospects could attract more capital flows to the region and lead to asset bubbles, said International Monetary Fund Deputy Managing Director Naoyuki Shinohara.

"The key will be for policymakers to keep an eye on the bigger picture and be ready to act swiftly as developments unfold," Shinohara said in a lecture to financial professionals in Singapore.

"With Asia's economic muscle growing, the policy choices made in this region will have an important impact on the global economy," he said.

Shinohara, however, also said the economic situation in Hungary, the latest European country to run into financial difficulties, was not as serious as portrayed in some media reports.

"The situation is much calmer, there's not much to worry about at this moment," he told reporters.

Hungary's government announced an action plan on Tuesday designed to calm frayed investor nerves after some officials spooked markets last week by suggesting Hungary could face a Greek-style debt scenario.

So nothing to worry about with Hungary for the moment??? What sort of statement is that? Hungary is screwed but you don't need to worry about it for a couple of months? Hey 5h1t happens just relax?

Share this post


Link to post
Share on other sites

http://www.telegraph.co.uk/finance/economics/7812903/Risks-to-global-economy-have-risen-significantly-top-IMF-official-warns.html

Weren't the IMF a few months ago talking up the recovery? Now all of a sudden the risks have increased?

You are forgetting suddend AND unexpected.

Apart from the fact neither is true. Christ they are all utter dimwits? A bit like that guy on Newsnight saying the Europe issue was new (in the last couple of months) and no-one could possibly have expected it.

APART FROM THE FACT WE DID... A YEAR AGO!

Balls

Edited by MinceBalls

Share this post


Link to post
Share on other sites

http://www.telegraph.co.uk/finance/economics/7812903/Risks-to-global-economy-have-risen-significantly-top-IMF-official-warns.html

Weren't the IMF a few months ago talking up the recovery? Now all of a sudden the risks have increased?

Also some bloke from a hedge fund commenting on risks to the global economy:

http://news.bbc.co.uk/1/hi/business/10273567.stm

"I cannot remember when there have been so many potential global crises happening at the same time"

Share this post


Link to post
Share on other sites

they should have a new risk indicator that indicates the risk of the risk outlook changing. without which they are simply incompetent imho.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 141 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.