However, it is necessary to monitor with due attention whether markets, especially those in emerging economies, will be affected unexpectedly through a reversal of the global flow of funds as the federal funds rate – which has been at the zero lower bound after the global financial crisis – will be raised. Next, I will move on to the European economy.
The euro area economy has continued to see moderate recovery, as can be observed in positive growth in the real GDP for eight consecutive quarters (Chart 3).