IMF warns US and Iran tensions could slow global growth
Business
The International Monetary Fund is sounding the alarm: Ongoing tensions between the US and Iran might drag down global economic growth.
With these conflicts, high interest rates could stick around longer, making things tougher for everyone, especially in places like the US where expensive loans are cooling off the housing market.
IMF expects 3% growth in 2026
US home sales dropped 2.4% in June 2026 as buyers backed off due to steep borrowing costs.
Over in Japan, inflation is pushing prices up fast, leading many to expect more rate hikes soon.
Meanwhile, China's recovery has hit a bump as consumer prices soften and global uncertainty lingers.
The IMF expects growth of 3% in 2026 if these risks keep piling up.