The fallout of the war with Iran is curbing economic activity globally. At the beginning of the year The Conference Board forecasted that the global economy would expand by 2.9% y/y in 2026. That forecast was downgraded at the onset of the war by 0.1 pp in March. With the conflict and related energy and trade shocks persisting, the April forecast for the global economy has been downgraded by an additional 0.1 pp to 2.7% y/y.

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