The global economy probably expanded only
modestly again in the second quarter of this
2016 year, as in the last three months of 2015 and
first quarter of 2016.
The pace of economic
growth remained moderate, particularly in the
advanced economies, with the dynamics shift-
ing somewhat between individual countries.
Real gross domestic product (GDP) in the
United States grew barely faster in the second
quarter than in the preceding three months,
not least as a result of changes in inventories.
In the euro area, the remarkable vigour with
which the economy had begun the year waned.
On average, growth in the first two quarters
was roughly in line with the moderate under-
lying rate which has for some time now set the
pace and which still sufaces to bring unemploy-
ment down gradually.
Despite the increased
uncertainty surrounding the Brexit referendum,
the economic upturn in the United Kingdom
proved robust in the second quarter.
In the emerging market economies, activity appears
to be stabilising further. In China, this was
probably primarily due to the authorities’
efforts to stimulate growth. Additionally, there
was increasing evidence in the first half of the
year to suggest that the recessions in Brazil and
Russia are easing.