The IMF said Wednesday that a U.S. economic downturn remains 'within the realm of possibilities,' despite encouraging data to the upside.
Still, Gopinath noted that the economy remains in a precarious position, with little room for error.
"If you look at our growth numbers, we're looking at very low growth numbers for the U.S., and so the risks of a hard landing remain," she said. Asked if such a shift from growth to low or even negative growth could be prompted by the Federal Reserve's ongoing interest rate hikes, Gopinath said it was conceivable.However, she added that central banks had so far been striking a good balance.
"This is a very difficult time for central bankers," she added. "I think, as of now the Fed, has been correct about keeping its eye on inflation and of course adjusting depending upon how the data comes in."
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