Are you sure?

World economy may be turning a corner

The world economy may be turning a corner, Brazil's Central Bank President Henrique Meirelles said, even as global markets tumbled on worries over the pace of the global economic recovery.

“There is no solid trend in the various regions in the world but there is no doubt that the world economy could in fact be reaching its point of inflection and gradual recovery,” Meirelles said.

The comments come as Asian, European and US stock markets fell to lows last seen in July on worries over the state of the world's largest economy after downbeat US consumer confidence data last week.

Even Japanese data showing the world's second-largest economy had returned to growth did little to lift spirits.

Brazil's economy was showing “more solid” signs of recovery and there are indications that the economy also grew in the second quarter, Meirelles said.

Latin America's largest economy fell into recession in the first quarter of this year when it shrank 0.8% after a 3.6% plunge in the fourth quarter of 2008. (Reuters)