While set for a contraction of -2.9% in 2020, we expect the global economy to rebound strongly to grow by 4.9% in 2021.
The eurozone appears poised to emerge from the COVID-19 crisis in better structural shape as the shock has driven greater transformative integration efforts than in earlier crises.
Emerging Markets Outlook
COVID-19 may cause emerging markets economies to contract by about 1.5% this year, an extraordinarily weak historical
performance but a little better than projections in June.
While EM growth will likely recover in 2021, any significant change to global supply chains as fallout from US-China relations may make future EM outperformance more challenging.
Global Capital Markets
With counterbalancing risk and rewards across most major macro issues, a heightened focus on relative value trade-offs within broad asset classes characterizes our current outlook.
Although pandemic uncertainty and the low level of interest rates have driven the corporate sector to lever up by issuing an avalanche of bonds, both investment grade and high yield bonds offer better prospects than government bonds.
You should obtain and read a Key Investor Information Document and Prospectus relating to the SSGA Cash funds prior to investing. Further information, including the annual and semi-annual reports and the Key Investor Information Document and Prospectus describing the characteristics, charges, expenses and risks involved in your investments are available for residents of countries where SSGA cash funds are authorized for sale, at www.ssga.com/cash and from your local SSGA office or by calling +44 (0)20 3395 2333.
Investing involves risk including the risk of loss of principal. It is possible to lose money by investing in the funds.
Before investing, carefully consider a fund's investment objectives, risks, charges and expenses. Click the link to obtain a prospectus which contains this and other information, or by calling +44 (0)20 3395 2333, please read it carefully before investing.