Global growth hit a soft patch at thestart of 2015. In the first quarter it slowed to 2.0percent, quarter on quarter (q/q) annualized, from 2.3percent in the fourth quarter of 2014. The slowdown wasreflected in a decline in global manufacturing activity, onthe back of weak industrial production and goods trade data,especially in large emerging markets. Among high-incomecountries, economic activity is strengthening. Euro Areagrowth picked up to 1.6 percent in the first quarter of 2015from 1.3 percent the previous quarter. Growth in Japanaccelerated to 2.4 percent in the first quarter from 1.1percent in the previous quarter. For the second quarter,despite the uncertainty surrounding Greece, the Euro AreaComposite PMI in July remained close to a four-year high.Confidence indicators for the second quarter point tofurther improvements, while indicators in Japan also suggestcontinued, albeit moderate, growth.