Confidence Investment: Imf and Britain Decision

confidence investment: But the IMF has trimmed its forecast for global growth overall as a result of Britain decision to leave the European Union, according to Nine News Australia. The surprise result in last month UK referendum has caused a sizeable increase in uncertainty which is projected to take a toll on confidence and investment, and through its repercussions for financial conditions and market sentiment more generally."With `Brexit' still very much unfolding, the extent of uncertainty complicates the already difficult task of macroeconomic forecasting," the IMF says in an update to its April World Economic Outlook released on Tuesday. That good news for Australia with China its number one trading partner. The IMF warns that outcomes could be even more negative. The revisions are concentrated to advanced European economies, particularly the UK itself, while countries like China have not only missed a downgrade but has a modest improvement for 2016 - 6.6 per cent growth rather that 6.5 per cent."The direct impact of the UK referendum will likely be limited, in light of China low trade and financial exposure to the United Kingdom," the IMF says. For now it has cut its 2016 world economic growth forecast to 3.1 per cent from 3.2 per cent previously and to 3.4 per cent from 3.5 per cent for 2017. (news.financializer.com). As reported in the news.