Ebullient financial markets. Better than expected economic growth. Rising optimism that the worst inflationary upsurge in decades has finally been vanquished.
The economic backdrop to this week’s Davos meetings was far more promising than many anticipated a year ago. But if the tone of discussions at the World Economic Forum is anything to go by, nobody is ready to celebrate.
Even if leading economies led by the US are heading for a “soft landing” in the wake of brutal interest rate increases, that story is being drowned out by rising anxiety about the myriad geopolitical risks that are looming in 2024 and casting a haze of uncertainty over policymaking.
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