Mixed messages have been the hallmark of the global economy throughout 2015, with much anticipation ahead of the next U.S Federal Reserve meeting in December.
Principal Global Investors have released economic insights authored by Bob Baur, Chief Global Economist, which analyses global economic performance and reviews the key themes in 2015.
Key insights include:
- Global growth is continuing to rebalance as developed countries continue to enjoy modest returns, while the Chinese economy appears to be stabilizing after a sizeable slowdown and the delivery of steady stimulus packages
- Markets now asses the likelihood of a December rate rise at 54% and the likelihood of a March rate rise at 71%, with much market pessimism attributed to a slowing China, problems in emerging markets and weak U.S payroll data
- The years of equities tracking a stampeding bull market are now over, with the investment cycle in its later stages. Year ahead returns, however, are likely to be positive and single digit
To read the full report, click here.