OECD expects inflation and manufacturing problems to dampen eurozone recovery, while China and US maintain stable growth
The world economy is still suffering from the effects of the war in Ukraine, mainly due to the rise in energy prices and a lot of food. But the European is undoubtedly suffering more than the others, which will slow the recovery more than expected. Here’s what the OECD is predicting, which in its April Advanced Composite Indicators (CLI) report released this Tuesday points to a “loss of momentum” in growth in Europe compared to “stable” progress in Europe. the United States and China.
These indicators, which advance the inflections of the business cycle and serve as a ‘thermometer’ of the current situation, are still above 100 points in the eurozone, but with no apparent recovery over the months, as expected after the end of restrictions due to the pandemic. So while in the OECD as a whole the indicator for the month of April stands at 100.16 points, in the Eurozone it drops to 100.09.
And it is that the great European powers are losing the pulse. This is the case for France, for whom the OECD calculates that its indicator does not even reach 100, as was the case in the worst months of the pandemic. Specifically, the organization gives 99.11 points to France, while Germany receives 100.30 points and Italy 100.20. In this way, Spain survives the pull, with the April indicator at 100.48 points, the highest of the surrounding countries.
Nevertheless, it is 0.15% less than in March, but almost 1% more than the score our country achieved in April a year ago, when the effects of the pandemic were still very much present.
The OECD recommends interpreting this data “with care” as the current uncertainties from the war and Covid-19 cause “greater than usual fluctuations in CLI components”.
As for emerging countries, the body chaired by Mathias Cormann emphasizes that the thermometer for China and India points to “stable” growth, while in Brazil the CLI indicator continues to point to a “slowdown” in its economy (98, 26 points in April, a price that was below 100 in December and has not stopped falling since).
Source: La Verdad
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
