“Progressively softer labour market conditions and positive inflation developments support gradual rate cuts, allowing the Fed to bring policy rates closer to neutral levels.”
Asian economies continue to demonstrate robust growth, albeit at varying rates, influenced by sectoral and industrial dynamics (value chain participation) and policy stimulus measures.
Our analysis suggests that the level of geopolitical risk will rise over the next few years. The trends that lead us to this conclusion are likely to also play out in 2025. Our Geopolitical Sentiment Tracker shows that more countries now have poor bilateral relations, while Russia’s ties with Iran, North Korea and China are deepening.