Global Growth Will Be Weak, But Probability Of Global Recession In 2016 Is Low: BAML

Fading shocks, improving fundamentals and supportive policy should boost global growth to 3.4% in 2016, up from 3.1% this year, notes BAML. Ethan S. Harris and team at Bank of America Merrill Lynch in their report “Global Economic 2016 Year Ahead” note the probability of a global recession seems relatively low in the next two years. Global growth: Fed hike unlikely to be a major shock to financial markets Harris et al. argue the Federal Reserve is poised to begin a policy normalization process with a 25bp rate hike at its December meeting. Meanwhile, the analysts anticipate the ECB, BOJ…