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Peak Prosperity Consulting

SPECIAL REPORT: PPC GLOBAL MARKET ANALYSIS

Morgan Stanley has cut the 2011 Global GDP estimate to 3.9% vs 4.2% and 2012 Global GDP estimates to 3.8% vs 4.5%. The Bank Says revised estimates show US and the euro area are dangerously close to recession over the next 6-12 months.

  • Cuts Asia ex-Japan 2011 GDP growth forecasts to 7.6% vs 7.7%; lowers 2012 est. to 7.3% vs 7.8%
  • Balance of risks remains firmly skewed to downside
  • Bumpy and brittle recovery and near stagnation in developed world means wouldn’t take much to tip the balance toward recession
  • Further shocks to developed world economies would imply further downside risk to Asia’s growth outlook

Read more: Special Report: PPC Global Market Analysis