CoinVoice has learned that Barclays Bank stated in a report released on Thursday evening that due to signs of easing in U.S.-China trade tensions, the likelihood of the U.S. economy falling into recession this year has significantly decreased, prompting the bank to raise its growth forecast for the U.S. economy.
Barclays currently expects the U.S. economy to grow by 0.5% this year and 1.6% in 2026, both higher than the previous forecasts of -0.3% and 1.5%. Meanwhile, as uncertainty decreases and the overall economic environment improves, Barclays has also raised its growth expectations for the Eurozone.
The Eurozone is currently expected to achieve zero growth this year, better than the previous forecast of a contraction of 0.2%. However, the Eurozone may still experience a technical recession in the second half of this year, although the extent of the recession is expected to be smaller than previously anticipated. 'Overall, we remain cautious about the growth prospects for the Eurozone, as current uncertainty remains high, and negotiations between Europe and the U.S. regarding reciprocal tariffs are still at a technical level with no signs of progress.' [Original link]