Global economy to suffer worst peacetime slump in 100 years, OECD says – as it happened
- An OECD report forecasted that the global economy will contract 6% in 2020, and 7.6% if there is a second wave of Covid-19 infections. It said the pandemic has triggered the most severe peace-time recession in nearly a century
- The report also found that Britain’s economy is likely to suffer the worst damage from the Covid-19 crisis of any country in the developed world
- The news caused European stocks to flip flop, with most indices ending up in negative territory after a relatively strong start to the session
- Bank of England governor Andrew Bailey later said at a private event that there will be elements of a faster-than-usual economic recovery as the government lifts Covid-19 restrictions that that we are seeing elements of that recovery starting already
- US consumer prices fell for the third straight month. CPI dipped 0.1% month on month in May, worse than economist forecasts for a flat reading
- All eyes are now turning to the US Fed as the central bank plans to release its first set of economic forecasts since the Covid-19 pandemic took hold
That’s all from us today. We’ll be back again tomorrow morning. Thanks for reading and stay safe –KM