Servicing the global economy

This monthly commentary gives a roundup of global markets and trends.

In this edition:

• The global economy continues to show resilience despite rising interest rates, with the service sector holding up.
• Covid-era “excess” household savings and solid labour markets have helped to sustain consumption and growth.
• The service sector may have further to run: US spending on services has only now recovered from pandemic lows, suggesting there is pent-up demand.
• Manufacturing, however, remains weak, though improving economic activity may provide a boost