The global economy is navigating a challenging period. 2023Q1 surprised on the upside relative to the April 2023 WEO. Since then, high frequency indicators paint a mixed picture of activity, with persistent pockets of resilience alongside signals of slowing momentum. The pace of China’s recovery is moderating after a sharp rebound in 2023Q1. Elsewhere, early signs that tighter monetary policy is transmitting to financial conditions are appearing. Inflation has eased somewhat but remains high, and disinflation efforts are likely to take time. The bout of financial turmoil in March has subsided, and declines in energy ... (full story)