Credit Suisse Predicts Global Growth Of 5.9% For 2021, Says Stocks To Outperform Other Asset Classes

• Swiss investment bank Credit Suisse expects global growth to accelerate in the coming months as countries gradually reopen their economies, leading to a recovery in revenue growth and rehiring.
• In its investment outlook for the second half of 2021, Credit Suisse predicted the world economy will grow 5.9% this year and 4% in 2022. That growth will be led by vaccine rollouts, fiscal stimulus and a broadening services recovery. It also said the United States is set to grow at a rate of 6.9% this year, the Eurozone is expected to expand by 4.2% while Asia ex-Japan is predicted to grow 7.5%. 
• Economic expansion will likely lead to a sharp recovery in global earnings growth that is set to fuel the stock market, according to Ray Farris, chief investment officer for South Asia at Credit Suisse. 
• “We are looking for equities to be the asset class that is going to outperform over the next six months to a year,” Farris told CNBC’s “Squawk Box Asia” on Thursday. “As long as earnings continue to trend higher, history suggests that equities will grind their way up.”

(Source: CNBC)