JPMorgan says 2022 to see full global economic recovery
US investment bank JP Morgan says on Wednesday 2022 that 2022 is the end year for coronavirus. In 2022 the economy will fully recover from coronavirus. According to the bank, the year 2022 is going to be great for the economy.
The bank outlook report said 2022 is the end year for covid 19, and the world will get back to a normal economy. According to the bank, the s&p will gain 8%, and the emerging market will get a whopping of 18%.
Marko Kolanovic, J.P. Morgan’s chief global markets strategist, writes on a weekly note that the year 2022 is going to be a fully global recovery year. He also said that we achieve this target by population immunity and human ingenuity, which is available on a wide range in the year 2022.
The bank report also said that new vaccines and therapeutics would bring good results. It will return global mobility to the world.
While covid has been harming the world economy since the very start and has become the never-ending thing, the effect of covid 19 certainly reduced. However, some businesses face endless trouble because of covid 19. Covid will continue its effect on the economy. But some sectors remain untouched by covid 19.
The report also said that now investors are taking uncertainty in stride. Now markets are unbothered by corona. According to the report, the global economy will now work on the problem that emerged in 2021.
Kolanovic said that the year 2022 for the market would be the same as before the pandemic. We will see a huge change in 2022 in the global economy.
The covid 19 break the world economy by its impact. Most of the countries are going through a major lockdown. It’s higher the unemployment rate and reducing employees’ salaries, said the international monetary fund.
In 2021 the fund will lower its value to 5.9 per cent. It happens because of new variants of coronavirus like omicron, delta and delta plus. A New York-based lender said that the economy would make a good recovery process in 2021. But the recovery is incomplete because of new variants of the corona.
As the economy tries to recover from covid, the new variants of corona are interrupted. Despite vaccines and good immunity of humans, corona takes over the world.
JP Morgan remains positive on the world economy. Compared to the year 2021, S&P targets 500 for 5050 points.
Although, according to Mr Kolanovic, the international market will deliver two to three per cent higher returns. The reason behind this is the increased interest rate. But expect a positive outlook; there are some risk factors that investors will face next year.
Conclusion
As we discuss, there is a major drop back in the economy because of covid. But in 2022, the economy will return to its original growth. According to US investment bank JP Morgan reports, the economy will be on track in 2022.