Advisory firm International eChem says that warning signs from the chemical industry point to a global recession in 2017, according to an article from Investment Week. The global chemical capacity utilization percentage (CU%), a measure which the firm says correlates closely to global GDP, reportedly dropped to its lowest level since 2009 this year, which the firm warns is an indicator of global economic slowdown.
The CU% has reportedly been in a steady decline for the last year, according to the firm’s chairman Paul Hodges. In the article, Hodges also warns of increased currency volatility due to protectionism-driven trade wars.
Read more about the firm's predictions here.
