Fears of a shock causing world crash are well-founded
Slow growth in China, the ongoing US-China trade war and the difficulties in the US aviation sector are all reasons for concern, but there are positive signs too
Recent trends in global manufacturing make for grim reading. Nearly half of the sector shows a contraction in underlying activity. In the eurozone, the manufacturing Purchasing Managers’ Index (PMI) has been in recession since the beginning of the year and continues to deteriorate.
In the US, the bellwether ISM manufacturing index moved into contraction territory in July. In China, the world’s manufacturing powerhouse, the sector has shown a modest contraction in activity since March,...
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