Covid-19 pandemic: Omicron may slash Q4 global growth by half

Omicron is dealing a blow to the world economy just as the pandemic enters its third year as a drag on growth and driver of inflation.

According to the latest Bloomberg nowcasts, the global economy is expanding just 0.7 per cent in Q4, half the pace of the previous quarter and below the rate of around 1 per cent witnessed right before the crisis.

The euro-area is on pace for a 0.8 per cent expansion in the fourth quarter from the previous three months, which is 0.3 percentage point less than what was projected in November. The US has strengthened