Strong Growth in Emerging Markets Helps DuPont

The IMF forecasts world GDP growth of close to 5% for 2008, continuing a five-year trend of above average growth for the world economy. In a post yesterday, I suggested that continuing, strong economic growth in the developing economies and emerging markets (the IMF forecasts 10% growth in China for 2008, 8.4% in India, 6.5% in Russia, etc.) could help support a weakening U.S. economy and prevent a 2008 recession.

Although anecdotal, here is a story from today's NY Times Business section to support that the notion that continuing strong growth in emerging markets will help strengthen the U.S. economy in 2008:

Citing strong fourth-quarter results and prospects for growth in emerging markets, the chemical maker DuPont (NYSE:DD) raised its earning estimate for 2007 on Wednesday as well as its profit forecast for 2008. A DuPont spokesman said the agriculture and nutrition business had been particularly strong in Brazil and that growth in emerging markets like China, India and Eastern Europe had averaged about 15%. Shares jumped $2.03, to $44.78.