WASHINGTON (AP) — The International Monetary Fund is downgrading its forecast for the world economy this year, citing the spread of COVID-19’s omicron variant, higher energy prices, an uptick in inflation and financial strains in China.
The 190-country lending agency now forecasts the global economy will expand 4.4% in 2022. That’s down from an estimated 5.9% last year and from the 4.9% the IMF was forecasting for 2022 back in October.
The IMF slashed the growth forecast for the United States — world’s largest economy — to 4% from the 5.2% it predicted in October. The agency no longer expects any economic stimulus from President Joe Biden’s Build Back Better social policy bill, which has stalled in Congress.
The U.S. economy is also contending with supply-chain bottlenecks that prevent companies from filling customer orders, and from the Federal Reserve’s impending move to raise interest rates to cool off the hottest year-over-year inflation in four decades.
The Chinese economy is forecast to grow 4.8% this year — down from 8.1% last year and 0.8 percentage points slower than the IMF expected in October. China’s zero-tolerance approach to COVID is likely to take an economic toll as is financial stress on the country’s property developers, according to the agency.
The IMF expects the 19 European countries that share the euro currency to collectively grow 3.9% this year, down from 5.2% in 2021. Japan is forecast to register 3.3% growth this year, up from 1.6% last year, as a result of continuing government support for the economy.
7 Virtual Reality Stocks That Can Deliver Very Real Profits
Are you ready for the metaverse? Yeah, I’m not either. But many people are enjoying living their life in a virtual world. However, virtual reality and augmented reality goes beyond the world of video games. The applications for this technology include remote assistance, training, and education.
And like e-commerce, this was a sector that experienced significant growth during the Covid-19 pandemic. Necessity frequently inspires new ways of thinking and so it is that millions of Americans had to figure out how to do things remotely.
But what you want to know as a prospective investor is whether there’s more growth in store. Fortune Business Insights reports that the global market for VR gaming will reach $45.2 billion by 2027. That’s up from $5.1 billion in 2019 and $17 billion in 2020. That comes out to a compound annual growth rate (CAGR) of 31.8%. That should get your attention. It’s certainly drawn the attention of many of the tech giants. Many of the FAANG stocks are investing in this market with the expectation of massive future growth.
If you’re looking to invest in this growing sector, we’ve put together this special presentation that highlights seven virtual reality stocks that, while they dabble in the virtual world can deliver real profits for your portfolio.
View the “7 Virtual Reality Stocks That Can Deliver Very Real Profits”.