Is the global recovery back on track?

A run of improving data from the US, Europe and Emerging Asia (especially China) has raised hopes that global growth is accelerating again after a temporary slowdown over the summer. Earlier fears of an imminent double-dip have certainly dissipated. However, the recovery is likely to remain relatively sluggish and fitful, at least in the advanced economies, until major structural problems have been resolved and the risk of a serious bout of deflation has passed.