War in the Middle East and Paul Mortimer-Lee

Paul Mortimer-Lee: Japan and the euro area are throwing up fresh signs of weakness by the day and emerging markets such as China are dragging instead of driving growth. The sense of tumult is being exacerbated by war in the Middle East, the standoff in Ukraine, street protests in Hong Kong and the spread of Ebola to Dallas, according to Bloomberg. The global economy and the markets have a history of traumatic economic events, said Paul Mortimer-Lee , chief economist for North America at BNP Paribas SA in New York. Psychologically and physically they have not recovered fully and are anxious about a relapse and The global economy faces its biggest test of confidence since the European sovereign debt crisis as investors fear its running out of engines. The worry is that five years since the world limped out of recession, central banks have virtually exhausted their stimulus arsenals if inflation and activity keep fading. That leaves the hopes of financial markets riding on the U.S. to resume its historical role as a locomotive robust enough to pull up demand elsewhere. (news.financializer.com). As reported in the news.