The global economic climate has continued to deteriorate. The indicator of the Ifo Institute in Munich has fallen from minus 2.4 points to minus 10.1 points.
The intensification of the trade conflict is weighing heavily on the global economy, said the Ifo Institute today. The economic climate worsened in all regions.
Both the assessment of the current situation as well as the expectations of the coming months were therefore significantly clouded. In the advanced economies and Asian emerging and developing economies, surveyed professionals revised both the assessment and expectations downwards.
Weaker consumption
All in all, the experts interviewed by the Ifo expect significantly weaker growth in world trade. Trade expectations are at their lowest level since the beginning of the trade conflict last year. Respondents also expect weaker private consumption, lower investment activity and declining short- and long-term interest rates.
Every three months, the institute consults experts from several countries on the development of the economy and other economic data. The most recent survey in July 2019 reported 1,173 professionals from 116 countries.
