Global economy is recovering very slowly, and new risks keep arising. Such has been statements of IMF and World Bank representatives prior to a spring session of both organizations’ authorities in Washington. Traditionally, before the session began, the International Currency Fund has released a new worsened on forecast development of global economy.
“One of the problems,” supposes the main economist of IMF Maurice Obstfeld, “the fact that in many countries, due to the absence of salary growth and increasing inequality, people believe that elite wins from economic growth.”
Economic growth in the USA is more dynamic than in Europe, but IMF supposes that this year development of the world’s leading economy will slow down, because rising dollar will have negative influence on export, and low oil prices will restrain investment in power industry. In comparison to its own January forecast, IMF has reduced this year’s expectations on GDP growth in America from 2.6% to 2.4%.
For eurozone forecast has been reconsidered from 1.7% to 1.5%. The Fund names possible secession of Great Britain from the European Union one of the main threats to Europe; but IMF is preparing a special report on this matter. Another threat concerns problems, connected with migration crisis. To be more exact, its political and social consequences.
And another negative factor is Greece, whose debt problems have impended Europe once again. In the course of negotiations with Athens IMF has taken a rougher position than other international creditors. How will Greece manage to hold structural reforms and achieve primary budget surplus at the same time? The negotiations have been postponed till next week, so that the issue could be discussed at the session of IMF and WB in Washington.
Meanwhile, behavior of EURUSD currency pair at Forex shows that correction of Weekly level to descending long-term trend will continue. Instruments of the System of Early Prediction (SRP) enable you to see an ABC structure upwards on the Daily chart; its wave C serves the basis for correction. Further movement will depend on whether the impulse structure of this wave is maintained or broken, as stated by traders of SPR Department of Masterforex-V Academy (AO_Zotik and WPR_VSmark).
