Major central banks are done tightening policy, according to a majority of econo...
BENGALURU - Major central banks are done tightening policy, according to a majority of economists polled by Reuters, with the growth outlook wilting across developed and emerging economies along with scant prospects for a surge in inflation.
Although economists who answered an additional question were split on whether a deeper global economic downturn was more likely than a synchronized rebound, this year’s growth outlook was downgraded or left unchanged for 38 of the countries polled. The risk of an escalation of the U.S.-China trade war and prospects of Britain exiting the European Union without a deal - two of the more prominent threats that initially drove the current slowdown - have eased.
With euro zone economic growth and inflation prospects dimming, the European Central Bank may have missed its opportunity to raise rates before the next downturn.
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