Expect strong but slowing economic growth in 2022
The global economy should enjoy solid growth in 2022, according to Capital Group economists. But clear risks lie ahead, including the gradual reduction of stimulus from central banks, stubborn inflation, a slowing China and the emergence of COVID variants.
U.S. economy is healthy, but inflation persists
The American economy should remain healthy in 2022 thanks to strong corporate profits and robust consumer spending, but inflation pressures and other headwinds will likely temper growth.
The digital revolution goes global
The outlook for international equity markets is brighter than it’s been in a long time, thanks to improving European economic growth, the expansion of the digital revolution beyond U.S. shores and the restoration of dividends by companies throughout the world.
FIXED INCOME OUTLOOK
Maintain balance with bonds
With equity market volatility surfacing and many assets priced for perfection, fixed income has the potential to provide important diversification to investor portfolios.