Aberdeen: Downside risks to US-China economic outlook – Trends

According to Aberdeen's latest research report, the global economic outlook still faces downward risks for China and the United States. After falling rapidly in 2023, the monthly inflation rates of many economies rebounded slightly in early 2024. The pace of wage growth and core services inflation, combined with a surge in ocean freight rates, means many major central banks are not ready yet.

global economic outlook

Aberdeen pointed out that the global economic outlook remains unclear, and trade frictions and tensions between China and the United States will have an adverse impact on the global economy. In addition, global economic growth is slowing down and many countries are facing downward economic risks.

Inflation picks up

Although inflation fell sharply in 2023, it picked up again in many economies in early 2024. This is mainly due to faster wage growth, core services inflation and a surge in ocean freight rates.

central bank response measures

Faced with economic downside risks and inflationary pressures, many major central banks are actively responding. They may take monetary policy measures to ease economic pressure and maintain economic stability.

• Strengthen regulatory measures
• Raise interest rates
• Promote structural reforms

in conclusion

Overall, the global economy faces many challenges, but there are also some opportunities. Aberdeen recommended that governments and central banks of various countries pay close attention to economic trends and adjust policies in a timely manner to deal with uncertainties and risks.