Economics

Economic Forecasts Turned ‘Upside Down’ by Vaccine News

  • Recovery could come faster if confidence boosts spending
  • Vaccine still faces hurdles, infections surging at record pace
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The global economic outlook could materially change for the better following Monday’s promising results for a Covid-19 vaccine developed by Pfizer Inc. and BioNTech SE.

Less than a month ago, the International Monetary Fund downgraded its forecast for world growth in 2021, saying the recovery would be “long, uneven and uncertain.” Now, the possibility of a successful vaccine being manufactured and distributed as soon as early next year may warrant significant revisions to growth projections for as soon as the first quarter.