As noted here earlier today, the International Monetary Fund (IMF) upgraded its world 2010 GDP forecast to 3.1% from 2.5%, warning that the recovery would nevertheless be sluggish and initially jobless.
Interestingly, they boosted their US GDP growth forecast by 0.7%, which was more than that for countries such as China, India, or Russia.(changed by +0.5%, -0.1%, and 0.0% respectively despite growing off of smaller bases). Given that their upgraded US 2010 GDP forecast of 1.5% remains below that of many research firms, perhaps they’ve been forced to play a bit of catch up.
Obviously, China and India are still expected to grow much faster at 9.0% and 6.4%, and the US growth forecast remains anemic. Yet it is interesting that America was one of the key underestimated quantities which caused this latest IMF upgrade. The US growth forecast is also higher than that for most large developed economies as well.
(Tip via 24/7 Wall Street.)