Market Data
August 26, 2021
CRU Economics Team: Inflation Paths Diverge
Written by Alex Tuckett
By CRU Principal Economist Alex Tuckett and CRU Chief Economist and Head of Sustainability Jumana Saleheen
A disappointing outlook for U.S. Q3 growth, and the problems in China’s construction sector, have led us to downgrade our forecast for 2021 world growth from 5.8% to 5.4%. Our forecast for 2021 growth in Industrial Production has been revised from 8.0% to 7.4%. We continue to expect above-trend growth in 2022 of 4.8% in GDP and 4.3% in IP, as many regions still have ground to make up after the pandemic. We have also revised down our forecasts for automotive production, delaying much of the recovery until 2022H2.
