GENEVA — Two days ahead of the G-20 economic crisis summit in London, the Organisation for Economic Co-operation & Development on Tuesday issued a dire outlook for world output, forecasting it will contract 2.7 percent this year and world trade volume will decline 13.2 percent.
“The bleak scenario is driven by the strong negative response of private global demand to a combination of the credit squeeze, negative wealth effects stemming from lower house and equity prices and a generalized loss of confidence,” said Klaus Schmidt-Hebbel, OECD chief economist.
The agency forecast the U.S. economy will decline 4 percent this year, total domestic demand will fall 4.1 percent and the U.S. unemployment rate will reach 9.1 percent, up from 5.8 percent in 2008, and edge upward to 10.3 percent in 2010. The Paris-based organization predicted U.S. exports of goods and services to shrink 11.3 percent in 2009 and imports of goods and services to contract 10.1 percent.
The OECD outlook is more adverse for the euro area, with economic activity decreasing 4.1 percent from last year, and a darker scenario for Japan, with an expected 6.6 percent drop.
Major emerging countries are also expected to witness an abrupt slowdown in growth due to slack demand for exports. China is expected to expand by 6.3 percent and India by 4.3 percent — both down significantly from last year — and Brazil to witness a decline of 0.3 percent.
Also on Tuesday, the World Bank forecast the worldwide economy will contract 1.7 percent in 2009, and world trade in goods and services will fall 6.1 percent.
World Bank economists anticipate rich economies to decline 3 percent and developing economies to grow by only by 2.1 percent, a marked revision from 4.4 percent forecast in December. In regard to the richest nations, the World Bank expects the U.S. economy to decline 2.4 percent, the euro area to fall 2.7 percent and Japan to see a 5.3 percent decrease.
Concerning the world’s biggest emerging economies, China and India, the bank expects growth to ease to 6.5 percent and 4 percent, respectively.
@chanel and @pharrell dropped what’s being dubbed as the world’s most exclusive sneakers yesterday. The Adidas Originals NMD Hu, which Williams designed in collaboration with Chanel and @adidasoriginals, has a waiting list of over 120K people who pre-registered online at chanelatcolette.fr –– and only 500 pairs are on sale. The singer predicted the resale value of the shoes could reach $40K. Read the full interview on WWD.com. Link in bio. #wwdfashion (📷: Dominique Maître)
@imanshumpert is diving deeper into his creative endeavors and relaunching his clothing line, Post 90s, and is helping to raise money for the hurricane victims in St. Maarten with a jersey he’s designed with his brother. The Cleveland Cavaliers player talked to WWD about kneeling during the national anthem, working with fashion brands and how he wants to be more than an @nba player. Read the interview on WWD.com #wwdfashion (📷: George Chinese)
Not only does #TheProfit return to CNBC tonight, but @marcuslemonis has launched @shopmarcus, a new shopping and lifestyle retail experience in Aspen and Chicago, with more locations to come. The retail stores offer in-store stylists and a variety of contemporary womenswear selections.
“It’s life, I’m going to face it,” @mingxi11 sighed. “I fell, but you know, I think the most important thing is that I get back up. I had the love, the help from my sister — the girl next to me Gizele [Oliveira] — she’s so nice. When I went backstage everybody was trying to comfort me like ‘Oh Ming, it’s OK.’ I’m really, really touched. I think it’s them who gave me the courage to go back on stage for the finale,” Xi told WWD of her fall at the @victoriassecret fashion show. (📷: David Fisher) #wwdfashion #vsfashionshow #victoriassecret
@louisvuitton tapped @therealpeterlindbergh for its latest city-centric photo book, which is part of a series called Fashion Eye. The primarily black and white book captures the spirit of Berlin in 57 images shot between 1989 and 2019. “Berlin is an inspiration for me, more than a city. I mean @millajovovich is simply Berlin!” said Lindbergh. #wwdfashion
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For pre-fall 2018, @etro created richly-colored wonderland, using tapestries, textiles and wallpapers from the Eastern world at large. The line featured floral and graphic prints and jacquard motifs, like this two-piece look featured here. #wwdfashion (📷: Giovanna Pavesi)
@kith is moving into children’s. The men’s and women’s streetwear brand has launched Kidset, a Kith kids line located in New York at 64 Bleecker Street. The line includes mini versions of staple Kith pieces like the Astor bomber jacket and the Kith box logo sweatshirts, along with a wall that can display up to 120 pairs of shoes from @adidas, @newbalance, @timberland and more. #wwdfashion
“I just wanted to create this fully rounded character, but I do think what excited me most was just the opportunity to give a group of people representation that I feel needs it. I like to do characters in projects that stand for something and Karolina definitely does, so that was really exciting to me,” @ginnygardner says of her new role in @hulu’s “The Runaways.” Gardner plays Karolina Dean, a queer superhero, which is a rarity for @marvel. Read more about Gardner’s character on WWD.com #wwdeye (📷: @dandoperalski)