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        Manufacturing activity data will test the global economy


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Investors will scrutinize preliminary data on manufacturing activity in Asia, Europe and the United States, with many fearing that the sudden weakness in manufacturing at the end of 2018 is intensifying. These data usually provide signals about overall economic momentum.
Trade tensions have put heavy pressure on factories around the world, and Sino-US trade negotiators may pay close attention to this issue. China and the United States will continue trade negotiations to avoid escalating tariff wars.
A year ago, however, the situation was quite different: nearly 10 years after the financial crisis of 2007-08, the global economy seemed to have finally entered a state of rapid growth, with all regions joining the trend.
But President Trump's radical stance on Trade and concerns about the impact of interest rate hikes by central banks have heightened fears that the global economy may be heading for recession. The Federal Reserve has raised interest rates four times in 2018.
In his speech on February 12, Mr. Carney said he believed that economic growth could stabilize at a new, slower pace as central banks slowed down and pushed ahead with plans to lift large-scale stimulus measures in the past 10 years.
"But it's a judgment, not a guarantee. The world is in a delicate balance, "warned Carney.
Recent signs of the global economy are not optimistic.
Retail sales in the United States fell far short of expectations in December, and Germany barely avoided recession.
The Bank of England said that the UK's economic growth may be the slowest since 2009, dragged down by the uncertainty of withdrawal from Europe and the global economic weakness; China's growth last year was the slowest since 28 years.


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