Indicators across the US, euro zone and China suggest that a fragile global recovery is still under way.
The global economy, however, is not without risks.
Global liquidity has continued to be a major driver for the financial markets.
In the US, consumer and business sentiment remains stable, while wage inflation continues to trend higher.
Economic growth in the US will depend on the timing and implementation of expansionary fiscal policies.
Although industrial production growth in the eurozone slowed marginally in January, it remains stable at around 1.9% year-on-year on a three-month moving average basis.
In China, for the period January-February, there has been an increase in fixed asset investment growth as well as a gradual rise in exports on a trend basis.
In India, the strong gross domestic product growth of 7% year-on-year in the fiscal third quarter was in divergence with high-frequency variables.
Concerns over core inflation, which excludes food and fuel, will see the Reserve Bank of India keep rates on hold.
Indian equities and currency have benefitted from significant capital inflows as well as domestic liquidity in recent weeks, and been among the better-performing markets in Asia on a year-to-date basis.
