Investors who have been hoping that the U.S. economy will be given a clean bill of health in the near future may want to think again.
New predictions from the International Monetary Fund provide a gloomy picture for the next six months, suggesting that most countries in the western hemisphere will face near-zero or negative growth until mid-2009.
And, once the U.S. does begin to get back on its feet, the IMF said that recovery will happen more slowly than in previous downturns because of the "exceptional nature of the asset price adjustments taking place."
Other countries in the region are also set to face challenges, the group predicted.
"The outlook points to a major downturn for the global economy, with growth falling to its slowest pace since the 2001-02 recession," the report states.
However, the IMF suggested that the coordinated efforts taken by governments around the globe would eventually lead to a successful recovery for the global economy.
Meanwhile, in related news, CNN Money reported on Wednesday that although there some signs of a credit thaw have been observed, investors continue to behave warily due to warnings about a long recession.