World stocks rose on Friday on expectations China's economy would strengthen as COVID-19 curbs ease, but stocks were heading for a 2% weekly loss in nervy markets ahead of the Federal Reserve's policy meeting next week.
expect global economic growth to slow further
Futures have priced in a near-certain possibility that the Fed will slow down its rate hike to 50 basis points next week, but the target U.S. federal funds rate would have to peak around 4.9% by next May. In addition to the Fed, the European Central Bank and the Bank of England are also set to announce interest rate decisions next week as policymakers continue to tap the brakes on economic growth through firmer rates to thwart stubbornly high inflation.
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