The global economy is already in a complete recession and is experiencing great difficulties all over the world, due to the global outbreak of the Goronavirus.
The impact of the coronavirus pandemic on economic activity has become increasingly evident and widespread in recent days, according to projections by economists consulted by the Reuters agency amid a series of stimulus actions by central banks this week.
The spread of the terrible disease caused by the Coronavirus has led financial markets around the world to go into total disarray, countries like France, Italy, Spain, Brazil. already suffer directly from these impacts.
The panic at every turn is increasingly evident in several aspects, namely in stocks, bonds, gold and commodity prices, underlining expectations of severe economic damage from the coronavirus outbreak.
Researchers reveal that the expansion of the global economy had already ended badly in recent months since the virus began to spread, however, with the advancement of the disease, the new projections are of intense impact.
In a G1 editorial, the head of Global research, Bruce Kasman, said: Last week, we concluded that the Covid-19 shock will produce a global recession as most of the world contracts between February and April.”
Still according to the G1, the new growth forecasts for the worst scenarios estimated just a few weeks ago are in some cases already in the central scenario for private sector economists in Reuters polls.
The not so pleasant, evolving news about the Coronavirus has triggered 'prediction leaps', with economists and strategists repeatedly lowering their forecasts.
But what are the new projections?
For Brazil, the outlook for the coming months is one of predicted chaos, experts say it is that the global economy will grow by 1.6% this year, almost half of the 3.1% forecast in the January survey and the weakest since the crisis global financial figures from 2007 to 2009. Forecasts for global GDP for 2020 ranged from -2.0% to +2.7%.
Furthermore, consistent with this, our economists now expect recessions in Europe, Japan, Canada and possibly the United States,” said the Goldman Sachs economic research team.
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