Global growth "smoothly" downshifting

[DCBob]

from ?Reuters..

(Reuters) - Walk softly. Global growth looks to be smoothly downshifting as China slows, the U.S. economy firms, and troubled Europe, at least for now, avoids a messy crash.

Ratings downgrades on nine euro zone countries by Standard & Poor's late Friday - including France, Italy and Spain - sent a shiver through financial markets. But the move was long telegraphed, likely limiting any spillover.

A global economy slowing only gently would be an immense relief after a fraught end to 2011, but it is far from guaranteed.

Greek debt talks could collapse next week in a tussle over the size of losses banks should face. Tensions over Iran's nuclear program continue to threaten oil markets. And U.S. data last week showed surprisingly weak retail sales and a rise in jobless claims, a reminder that the U.S. recovery is not yet out of the woods.

more: http://finance.yahoo.com/news/china-harbinger-global-slowdown-200245103.html

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A smooth downshifting is the best case scenario given the potential for a severe abrupt global economic meltdown.

[Cali_Democrat]

1. Reuters is definitely trying to polish the turd here

Global growth smoothly downshifting?

[DCBob]

2. Given that many have been predicting imminent global economic collapse..

I think the term "smoothly downshifting" is appropriate.

[Zalatix]

6. Not all of us like to stick our heads in the sand and live in denial.

[DCBob]

12. Any idiot knows there are tremendous problems in this world.

I could list off about a dozen plausible scenarios of global catastrophe but I prefer to be more optimistic and believe we can work this mess out eventually.

[Zalatix]

13. But if we stay the course we're on, we're FUCKED.

Of course, Deus Ex Machina could always happen. The GOP could lose both houses by giant margins in 2012 to liberal democrats and not Corporate stooges. If that happens then this economy MIGHT be salvageable.

[DCBob]

14. Yes, I agree with that.

But its not easy changing course in a tempest.

[girl gone mad]

3. Bad things will never happen.

We haven't just been kicking the can since 2008. Our banks are totally solvent. Our middle class is thriving. It's all better now, nothing to see here. Austerity is working. "Shared sacrifice" is brilliant economic strategy. Recovery green shoots for everyone, everywhere.

[DCBob]

4. I suspect you are one of those who have been repeatedly predicting economic disaster..

during the past three years.. and mocking those of us who have correctly predicted it was not going to happen.

[girl gone mad]

8. If by economic disaster, you mean..

lingering high unemployment, housing market malaise, global sovereign debt crises, a breakdown in the EMU, potential rejection of the Euro, erosion of the American middle class, worldwide unrest caused by maldistribution of wealth and commodities inflation, the TBTF insolvencies, regulatory capture, the increasingly bloated criminal financial sector, an unrelenting private debt crisis and the spectacularly disastrous failure of the neoliberal agenda...

Yes, many of us outlined the plethora of mistakes and foolish policy decisions which led us toward this inevitable outcome.

I'm sure you'd love to rewrite history and say no one possibly could have seen any of it coming. Of course, when we did, you laughed and called us "gloom and doomers", etc.

[DCBob]

11. The "disaster" you speak of has been ongoing for decades.

We have huge underlying problems in this country that have been with us for a long time. Eventually it will become a real disaster if we dont deal with them in a serious manner. But at the moment the goal is just keep the ship afloat. The President has done a good job of that in spite of those who have fought him every step of the way and in spite of those who keep claiming its all going to collapse.

[Zalatix]

7. +1! Living in denial simply does not work.

[bhikkhu]

5. "We must learn to grow like a tree, not like a fire"

...Wendell Berry said that.

[customerserviceguy]

9. It's only smooth if you have a job

And thank goodness, I do. I do recognize that a return to managed growth is essential to have a full employment economy. I truly hope we're on the road to that, and do not turn to the Republicons for the way out of the craphole that they have led us into.

[DCBob]

10. Yes for sure.

My comment was more meant from a an overall global perspective.