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The IMF warns about the global economy, Australia’s government delivers a pre-election cash-splash budget and May seeks to break the Brexit “logjam.” Here are some of the things people in markets are talking about.

Lagarde Frets About Global Economy 

Global growth has lost momentum since the start of the year, leaving the world economy in a “precarious” position, IMF Managing Director Christine Lagarde said. The global economy has weakened since the International Monetary Fund last updated its forecast in late January, though a recession isn’t likely in the near term, Lagarde said Tuesday. She characterized the slowdown as a “synchronized deceleration” during a panel discussion after her speech. In January, the fund lowered its projection for world economic growth, forecasting expansion of 3.5 percent this year and 3.6 percent in 2020. It was the IMF’s second cut in the outlook in three months. The fund will release its new World Economic Outlook with an updated growth forecast on April 9.

May Seeks Deal to Break Brexit “Logjam” 

Theresa May asked her greatest political enemy, opposition leader Jeremy Corbyn, to help work out a joint plan for Brexit, in an attempt to break the deadlock that threatens to force the U.K. out of the European Union without a deal. The prime minister’s appeal to the Labour Party leader opens the door to the possibility of a much softer form of Brexit, potentially keeping the U.K. inside the EU’s customs union, in what would be a massive breach of May’s own negotiating red lines. Corbyn said he would be “very happy” to meet May. After seven hours of talks with her Cabinet ministers, the premier said the U.K. will need an extra delay beyond next week’s potential cliff-edge deadline of April 12 to resolve the crisis. The pound reversed declines.

Australia’s Cash Splash 

With elections due next month, Australia’s government pledged sweeping tax cuts and forecast the country’s first surplus in more than a decade in a budget aimed at engineering a come-from-behind victory in the polls. The centerpiece of the Coalition’s plan was a pledge to deliver A$158 billion ($111.7 billion) of tax relief for more than 10 million Australians, and in a bid to ease congestion in major cities and improve access to regional Australia, the government announced A$100 billion in infrastructure spending over 10 years.  The Treasury projected a A$7.1 billion surplus for the fiscal year through 2020, or A$3 billion more than a December estimate, thanks to surging commodity prices and a hiring bonanza. Here’s a list of the budget’s winners and losers. 

Stocks Pare Losses 

Asian stocks look set for a mixed open after equity markets wobbled on Wall Street. Most U.S. equities finished up from the lows of the day as investors reassessed the strongest first-quarter rally in almost a decade. Treasuries resumed their push higher, while the pound fluctuated after Theresa May announced a proposal to break the logjam over Brexit. The Dow was dragged down for the first time in four days by Walgreens Boots Alliance Inc. after lower pharmacy reimbursements hurt earnings at the drugstore chain. Technology shares pushed the Nasdaq higher. After being lower most of the session, the S&P 500 finished little changed. Carmakers pushed the Stoxx Europe 600 Index to the highest close this year. 

BlackRock’s Fink Looks Abroad Growth

After building a financial powerhouse over three decades, BlackRock Inc. Chief Executive Larry Fink is charting a path for growth beyond the U.S. Fink announced a massive overhaul of the firm’s leadership in a memo Tuesday, shifting more responsibility to region-specific leaders as well as installing new management in its alternatives investment division and reorganizing staff.  The leadership changes reflect BlackRock’s desire to cement client ties beyond the Americas, where most of its revenue still originates. Fink frequently underscores BlackRock’s desire to attract customers outside the U.S. and sees great untapped potential abroad. The company, which oversees about $6 trillion in assets, is also using deal-making to advance that goal.

What we’ve been reading:

This is what caught our eye over the last 24 hours.

• If you think Trump’s China policy is tough, wait for car tariffs.
• Singapore’s biggest online mall fights Alibaba with blockchain.
• Erdogan’s party decks Instanbul with victory banners after loss.
• Ghosn’s pay is said to be cut by Renault after arrest in Japan.
• A third of Goldman Sachs’ clients sat out China index inclusion.
• YouTube let toxic videos run rampant.
• He’s worth about $700 million. And he says it’s “ridiculous.”

To contact the editor responsible for this story: Alyssa McDonald at amcdonald61@bloomberg.net

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