2010 U.N. report shows positive indicators for Global economy

Economically 2009 has been as difficult as any year in the last 40 according to official statistics being released by the United Nations economic panel. Of the 160 nations providing data, 1079 showed a reduction in per capita income with the ratio being higher the more developed the nation was. Significant growth in unemployment coupled with productivity/profit reductions contributed to one of the more testing times we’ve seen in our recent history. With 2010 now just hours away what can we expect in the new year as we launch into the new decade?

Hopes for a bull market on Wall Street for 2010

It’s actually rather encouraging news as most indicators show modest to reasonable growth for most nations and we hope the confidence for recruitment and expansion to return to business in North America. Experts do however warn that the recovery will be very uneven and quarterly reports may show a risk of recovery statistics ebbing and flowing perhaps for the next 18 months. Two concerns that hinge stability in North America and worth monitoring are the trade deficit and the continued fiscal stimulus offered both by government but whether lenders will loosen cash flow to a more generous degree. Both factors can sharply impact the performance of the US Dollar which in turn is in danger of sudden drops on the foreign exchange market. World GDP fell by 2.2% according to analysts in 2009 and the recovery should show moderate growth next year of about 2.0%-2.5% being led by Asian economies. The most sluggish recoveries are forecast for Europe being pegged at grown of just under 1.0% in the year to come but both the US and Canada are expecting growth of up to 2.5% according to analysts.

It will be interesting to note if the predictions display accuracy as the first reports of 2010 trickle down and ideally the confidence required for growth will follow in accordance. It seems we are legitimately in position to announce that the worst is behind us and welcome the new year with less trepidation than we entered either 2008 or 2009.

Analysis provided with assistance from reports prepared by the U.N. Conference on Trade and Development