Staff of Reuters 1 minute People wearing face masks walk through a key retail area in Shanghai, China, on January 27, 2021, following the coronavirus illness (COVID-19) epidemic. Aly Song/Reuters (Reuters) – LONDON (Reuters) – Given the global spread of the Delta strain of the COVID-19 pandemic and the reaction to the June Federal Reserve meeting, the balance of risks facing the global economy is more unfavorable than previously, according to Deutsche Bank. In its most recent House View report, Deutsche Bank stated that while it believes inflation is temporary, risks are increasing “to the upside.” COVID-19 is projected to remain in the spotlight, according to the bank, because the global reduction in infections that began in April has slowed, and the more contagious Delta version has appeared. “With vaccination rollouts already well advanced in many wealthy nations, one of the most pressing considerations will be how prepared governments and citizens are to live with the virus,” according to the note. “The shape of the recovery and the new steady-state we’re moving to will be determined by that answer.” Dhara Ranasinghe contributed reporting, and Kirstin Ridley edited the piece./n
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