"The recent flow of good news on the world economy has continued since our June Global Economic Outlook (GEO), with Fitch now revising up its 2017 and 2018 world GDP growth forecasts to 3.0 percent (from 2.9 percent in June) and 3.2 percent (from 3.1 percent), respectively," the release stated.
Fitch explained that the revisions are led by better-than-anticipated recovery in emerging markets, especially in China and that data suggests the recovery has spilled over into advanced markets as well.
"Spill-overs from the rebound in emerging market demand are reflected in the fastest growth in world trade since 2010," Fitch Chief Economist Brian Coulton added.
US GDP grew by 0.6 percent in the second quarter of 2017, a big improvement over the 0.3 percent growth in the first quarter, Fitch said. Chinese GDP grew 6.9 percent in the second quarter, 0.2 percent higher than estimated.
China’s nominal GDP growth has risen over 11 percent year-to-year in 2017, up from a low of 6.4 in the fourth quarter of 2015.
Eurozone growth increased 0.6 percent, while GDP growth in the United Kingdom remained subdued at 0.3 percent as Brexit uncertainties continued to weigh on the market.