You are here: Home - Saving & Banking - News -

Global growth to slow but no recession for 2008

Written by:

Despite softening global economic growth, HSBC Investments has predicted stock markets will rise modestly in 2008, but not by a significant margin.

Roger Noddings, chief investment officer at HSBC Investments, has said that world economic growth will slow during 2008, but that a recession is not on the cards. Emerging markets will continue to outperform developed markets, especially in terms of equities, according to Noddings.

He said: “Owing to the impressive economic growth rates, we expect global emerging markets will outperform most developed markets. The main downside risk to emerging markets is that turbulence in global financial markets could disrupt capital flows to emerging markets and thus trigger problems for the expansion of their domestic markets.”

Noddings added: “The global economy has faced a significant test in recent months. Nonetheless, generally sound fundamentals should keep the global economy, in aggregate, on course. A mixture of cheap equity valuations and dramatic policy response should allow stock markets to rally toward the end of 2008 as they look forward to steadier conditions in 2009. I expect that the FTSE 100 will close 2008 at around 6,800.”

Related Posts


Tag Box




Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co... Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Older generation in debt

The latest research from Callcredit, a credit reference agency, has shown more than 1.1 million retired UK homeowners have an...