“Our main global macro outlook still maintains that recession is more likely than not in the near future (12 to 18 months) based on the global credit impulse having peaked simultaneously with global inflation,” Steen Jakobsen, chief economist at Saxo Bank, said. In a recent note, Jakobsen explained that the biggest “perception-versus-reality gap” in the market currently remains this risk of recession. “While the market at large sees less than a 10 percent chance of recession, we at Saxo – together with our friends at South Africa’s Nedbank – see more than a 60 percent chance,” he added in the note. Europe is seen as the main region driving global growth, according to Jakobsen, beating the U.S. in the second and third quarters of this year. Mike Bell, global market strategist at JPMorgan Asset Management, told CNBC Monday that European stocks “look pretty cheap” compared to U.S. stocks.

Source: The North Africa Journal April 10, 2017 09:33 UTC