Investors are anticipating a fresh wave of stimulus measures to tackle flagging growth, as the White House said it was considering a new round of tax cuts to boost the economy.
Central bankers will gather at their annual Jackson Hole meeting in Wyoming on Thursday as warning signals from financial markets add to rising pressure to come up with ways to support the global economy.
The US yield curve— which reflects market expectations of future interest rates — last week inverted for the first time since the summer of 2007, a move seen by many as a leading market indicator of recession.
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