New York: Volatility in financial markets and geopolitical and refinancing risks persist around the world despite interest rate cuts by central banks, according to Fitch Ratings. According to Anadolu Agency, Fitch Ratings highlighted in its Risk Headquarters report that the recent global monetary policy cycle, marked by rate cuts in the US, the eurozone, and other major economies, has significantly boosted investor confidence. This shift has contributed to a relatively stable global macroeconomic and credit environment. However, persistent geopolitical and political risks, along with deflationary pressures in China and capital market volatility, continue to pose challenges. The report also noted that the base-case economic forecasts anticipate a slowdown in economic growth in both the US and China by 2025. Fitch Ratings emphasized that the upcoming US election and the subsequent policy directions of the new Congress and administration are critical short-term events that could have profound effects on credi t outlooks. Trade policy, particularly, is of concern, as aggressive protectionist measures by the US, followed by possible retaliation by key trading partners, could have a significant impact on the global economy. The report also pointed out that fiscal and immigration policies could play a crucial role, especially if the new government introduces a combination of policies that reverse disinflationary trends. Such policy shifts could potentially disrupt the current trajectory of interest rate cuts, affecting the overall economic landscape.