Morgan Stanley cuts global growth outlook

Morgan Stanley economists cut their outlook for global economic growth late Wednesday and said the U.S. and Europe are dangerously close to slipping back into a recession. The economists cut their outlook for global economic growth to 3.9% from 4.2% in 2011. For 2012, they see the growth number at 3.8%, from 4.5% previously. In the developed markets, the economists expect growth of 1.5% this year and next, down from a previous estimate of 1.9% and 2.4% respectively. In the emerging markets global economy, Morgan Stanley sees growth of 6.4% this year, down from a 6.6% previous estimate, and they see 2012's number at 6.1% from a previously-estimated 6.7%.