The US government shutdown and the uncertainty surrounding the debt ceiling is likely to be exerting a drag on the economy as we write.
So what can we say? Despite a weaker reading in the global composite PMI, the global economy appears in reasonable shape.
It means that if the troubles in the US can be resolved soon, there’s a good chance things can get back on track quickly. But the most glaring risk to the global economy is that the political issues in the US are not resolved, or simply re-emerge in the very near future, and do substantial damage to growth.
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