It seems that global economy has started to recover by the ending months of the year 2012, i.e., optimistic outlook for the year 2013. With economic data released from core economies suggesting improving world economy, the year ahead is believed to have a stronger start compared to the year 2012.

With Chinese growth data suggesting stabilized economy, fiscal policy easing, support from infrastructure spending and improved residential property market by the closing months of the year have improved market sentiments in the Chinese economy. Further, despite a weaker Chinese exports in the middle of the year, expanding global export by the year end, particularly in U.S. is believed to support Chinese economy as a whole.

U.S economy, going through many ups and downs throughout the year has lately begun to grow. Improved consumer sentiments, picking employment growth rate combined with improved housing market are indeed supporting the economy. Despite witnessing some market optimism, the entire economy is in the state of uncertainty over ‘fiscal cliff’ and in what manner the policy makers would address the much feared economic event, which would trigger tax hike and spending cuts. The entire world is on wait-and-watch mode for the performance of U.S for the year 2013.

In 2012, despite single currency bloc, i.e., Eurozone and large Euro economies like France and Greece came up with policies and reforms to tackle the ongoing recession, the prolonged fiscal challenges have remained substantial by the end of the year and are expected to continue in the year 2013 as well.

Moving on to Japanese economy, with contraction in September quarter end, the economy witnessed weakening global exports amid slower global economic activities. Like Japanese economy, growth in other East-Asian economies also remained fragile. The key causes for the pessimistic growth rate could be attributed towards weak global economy for the year.

With the beginning of New Year, 2013, all we can expect is a better financial environment throughout the world and synchronized global economy generating synergy effects, eventually smoothening out daily lives.