• US 2025 growth forecast seen at 2.2% (previously 2.4%)
• US 2026 growth forecast seen at 1.6% (previously 2.1%)
• China 2025 growth forecast seen at 4.8% (previously 4.7%)
• China 2026 growth forecast seen at 4.4% (unchanged)
• Canada 2025 growth forecast seen at 0.7% (previously 2.0%)
• Canada 2026 growth forecast seen at 0.7% (previously 2.0%)
• Mexico 2025 growth forecast seen at -1.2% (previously 1.2%)
• Mexico 2026 growth forecast seen at -0.6% (previously 1.6%)

OECD notes that their simulation shows that a broad-based trade war could shave 0.3% off global growth and 0.7% for the US economy itself. Amid such circumstances, they also warn that higher-than-expected inflation could prompt more restrictive monetary policy and spook financial markets.

This article was written by Justin Low at www.forexlive.com.