In an editorial release today (March 23), investment giant PIMCO sees little change from their previous forecasts.
PIMCO continues to foresee a multi-speed global recovery over the next few years, with advanced economies facing muted growth and unusually high unemployment, while systemically important emerging economies continue gradually to close the global income and wealth gap. This forecast is governed by more favorable initial conditions of debts and deficits in emerging markets as well as by the loss of capacity for fiscal stimulus in certain developed nations.
However, Dave Rosenberg at Gluskin Sheff detailed the differences in risk to investors in 2011 which questions whether anyone really has a handle on 2011 economic growth.
Econintersect believes there are many unanswered questions in the second half of 2011 – and sees the ending of QE2 and the price of oil to be the largest unknowns going forward which can effect this year’s economic growth.