Uncertainty and erratic moves will be the norm rather than the exception reports Saxo Bank, the online trading and investment specialist, in its economic outlook for the third quarter of 2011. The second half of 2011 will be volatile and the uncertainty almost as great as during the financial crisis.
The most probable outlook for Q3 is that the world extends monetary stimulus across the global economies. This will bring marginal higher growth but also increase the burden on fiscal payments and a need for structural changes. Any long-term solution needs to be forward looking and involve an agenda for dragging Europe out of the low growth stalemate. A solution based on buying more time will only take us closer to the feared full blown Crisis 2.0.
To view Multimedia News Release, go to http://multivu.prnewswire.com/mnr/prne/saxobank/50522/
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