2018-01-22reuters.com

The Fund revised up its forecast for global growth to 3.9 percent for both 2018 and 2019, a 0.2 percentage point change from its last update in October.

It also said that economic activity in Europe and Asia was surprisingly stronger than expected last year, and global growth in 2017 was now estimated to have reached 3.7 percent, 0.1 percentage point higher than the Fund projected in October.

"The U.S. tax policy changes are expected to stimulate activity, with the short-term impact in the United States mostly driven by the investment response to the corporate income tax cuts," the IMF said in the update, which was released on the sidelines of the World Economic Forum in Davos, Switzerland.

"The effect on the U.S. growth is estimated to be positive through 2020, culminating to 1.2 percent through that year," it said, cautioning that after 2022 the tax cuts were expected to lower growth for a few years.

This magically-appearing "growth" sounds a lot like the passion of late-stage global QE...



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