“In 2017, world economic growth may be better than expected, although there remains a lot of uncertainty factors that may affect the expansion, and the most significant of which is the strengthening of the US dollar”, – said the chief economist of Allianz, Mohamed El-Erian.
“Prospects for the world economy in 2017 will be the same as last year, but the risks are reversed. The world economy will expand at a rate lower than 3 percent, and the US economy will outperform it, with growth of 2.5-3 percent, pointed El-Erian.
“The dynamics of the US economy is expected to support the US dollar, but the currency can be strengthened further if the US Federal Reserve will raise interest rates at least three times in accordance with the baseline scenario for 2017, rather than twice, as priced in”.
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