IMF World Economic Outlook: Raises 2026 Global GDP growth forecast to 3.3% (prev. 3.1%)

• US economy is forecasted to grow by 2.4% in 2026 (prev. 2.1%).
• Chinese economy is forecasted to grow by 4.5% in 2026 (prev. 4.2%).

The IMF's revision of the 2026 global GDP growth forecast to 3.3% indicates a somewhat more optimistic outlook, particularly with upward adjustments for both the US and Chinese economies. This growth outlook could influence market sentiment surrounding fixed income and risk assets, suggesting that better growth prospects might support risk-on positioning and potentially challenge bond yields. Ultimately, this revision highlights a shifting narrative towards more robust economic recovery, which could impact policy discussions moving forward.