Chinese language and U.S. flags flutter close to The Bund, earlier than U.S. commerce delegation meet their Chinese language counterparts for talks in Shanghai, China July 30, 2019.Aly Music | ReutersToday the world’s main chief monetary officers have a extra constructive outlook for China’s economic system than they do for the economic system of the US. The Q3 CNBC World CFO Council Survey revealed on Friday. That’s the first time within the survey’s historical past that this elite corps of executives have been extra upbeat on China.Within the newest survey, CFOs gave a mean outlook of “Secure” for China’s GDP, whereas seeing the U.S. economic system as “Modestly Declining.” World wide, GDP outlook was usually improved from the second quarter survey, when no area was seen as secure. This quarter, together with China, the council upgraded the remainder of Asia and the Eurozone from “Modestly Declining” to “Secure.” Latin America went from “Strongly Declining” to “Modestly Declining”. However the U.S. economic system was seen as “modestly declining” for the second straight quarter.The outlook echoes reviews that China’s economic system is rebounding as life there begins to look increasingly more prefer it did earlier than the pandemic. In July, China mentioned its economic system grew 3.2% within the second quarter. The U.S. economic system decreased at an annualized fee of 32.9% in the identical quarter, the worst single-quarter decline in historical past.China’s bounceback comes because the nation offers with the double-whammy of the pandemic and heightened tensions with the US over commerce, know-how and geopolitics. It has been spurred by ramped up authorities stimulus to fight the coronavirus-led downturn.What lies forward for the U.S. marketCFOs additionally struck a cautious tone in regards to the stock market. Regardless of a fast restoration for stocks from the market’s bottoming out in April, the council is break up on the place the market is headed subsequent. Statistics inform the story. In response to the survey, 42.5% say the Dow Jones Industrial Common will fall again under 25,000 earlier than it reaches 30,000 for the primary time. Almost one-third of executives (27.5%), assume the document excessive will come earlier than one other downturn for the Dow.The downbeat outlook for the U.S. economic system and the markets displays the continued state of uncertainty for big corporations within the face of the Covid-19 pandemic. Twenty-five of the 40 CFOs who responded to this quarter’s survey referred to as the pandemic the most important exterior threat going through their corporations, whereas 80% say the pandemic could have a unfavourable or very unfavourable influence on their firm this 12 months. Just one CFO mentioned the pandemic will probably be constructive for his or her firm.A method many companies will handle the unfavourable influence is thru layoffs. Greater than half of respondents say they count on their firm’s internet headcount to lower over the following 12 months. Nearly 1 / 4 of CFOs mentioned the identical a 12 months in the past. And regardless of bettering financial conditions in Asia in comparison with different components of the world, CFOs within the APAC area have been more likely to say they count on their headcounts to lower in comparison with their U.S. friends.