• Real gross domestic product (GDP) growth for the United States (US) was revised to 2% in the first quarter of 2023 from the previous estimate of 1.3%
  
• The European Central Bank hiked interest rates by 25 basis points(bps) in June
  
• Inflation softened in the United Kingdom (UK) in June
  

S&P Global expects the global economy to grow by 2.9% in 2023, revised up from its previous forecast of 2.7% due to resilient demand and tight labor markets in several advanced economies. S&P Global revised its 2023 forecasts for many key advanced economies, including the US (0.7% to 1.7%), the UK (-0.5% to 0%), Japan (1% to 1.2%), and the euro zone (0.3% to 0.6%). On the other hand, the forecast on China was revised down to 5.2% from 5.5% given the country's uneven recovery.

Though inflation has eased in several key advanced economies, it remains well above central bank targets. While central banks worldwide have hiked interest rates at a fast pace, global economic activity continues to be resilient, resulting in interest rates likely to remain high.