Funds transparency essential
Sovereign wealth funds can help the global economy when they are transparent and free from political decision-making, the White House said.

“On balance if they are transparent and they are free from political decision-making, they can contribute to overall growth in the global economy by investing in places that need capital,” White House spokesman Tony Fratto said. “They can contribute to growth here in the U.S. economy and other economies.”
Asked whether there was any particular concern about the Chinese government’s influence, Fratto said: “No particular, no.” 
 
Downturn not expected
No further downward revisions to euro zone economic growth forecasts for 2008 can be anticipated, the economy minister of EU president Slovenia said.
“It will be steady,” Andrej Vizjak told Reuters.
European Union Economic and Monetary Affairs Commissioner Joaquin Almunia cut his 2008 growth forecast for the 15-nation euro area to 1.8 per cent from 2.2 per cent.
“I don’t think there will be a crucial decrease of GDP growth but I know things are a little bit under the influence of what’s happening in the United States,” Vizjak said.

Optimism drops
Manufacturers’ optimism about the economy plunged last quarter, according to a quarterly survey of US-based industrial executives.
The PricewaterhouseCoopers Manufac-turing Barometer found 29 per cent of executives are optimistic about the economy over the next year, down from 45 per cent in the third quarter and 64 per cent a year ago.
The level of optimism was the lowest since the inception of the survey in 2003.
“The consistent message is that manufacturing executives are concerned that the US economy will continue to slow, but they will be able to rely on their international business,” said Barry Misthal, the consultancy’s industrial manufacturing sector leader.
Sixty-four per cent were optimistic about the world economy, but that proportion was also down from the third quarter and from a year ago.