World Bank Cuts Global Forecast

It’s never a good sign when someone says to “prepare for the worst.” The World Bank cut its global growth outlook to 2.5 percent Tuesday. In June, the Washington bank estimated 3.6 percent growth, but is now pulling back on its forecast because of the euro crisis, which will slow developing markets like India and Mexico. The bank specifically tells these emerging markets to “prepare for the worst” like in 2008. The cut in growth outlook is the biggest in three years.