World trade shrunk by 0.3% in the fourth quarter of 2018 , the forecast for 2019 is much lower than what was expected. World trade has been weighed down by new tariffs and retaliatory measures, weaker economic growth, volatility in financial markets and tighter monetary conditions in developed countries. It will be interesting to see what effect the trade war between the united states and china will have on global trade as well if the UK decides to leave the EU could have significant impact on world trade. All in all it seems like the global economy is slowing down and i'm curious what impact this will have here at home.
https://www.cnbc.com/2019/04/02/wto-lowers-its-forecasts-after-global-trade-slowed-in-the-fourth-quarter.html
3 comments:
In addition to the points already made in the post it will be interesting to see if the slowing European growth, such as in Germany, will have an effect on this as well.
Although this does not seem like it is a huge drop, the economies worldwide as well as in the United States seem to have struggled in the past month. I do think it will be interesting to see in the next quarter if these countries around the world are able to turn it around.
The world overall is struggling and I suppose it's because of the wall we hit in the technological aspect (although it is still improving, but not as rapidly as the industrial ages, etc.), and the reducing GDP gap between countries around the world is also shrinking the differences. I am also interested in the trade war between US and China, and how Brexit goes. I think the trade war will influence the world more, and the Brexit would definitely have an impact, but may just be impactful in the side of Europe. Overall the slowdown is visible around the world, and every country has a lot of debt to resolve.
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