Results for: Markets research

The global economy is currently at a point of tense calm: several open fronts are putting pressure on investors’ decisions in a context of increasing uncertainty in the markets.

Fears that economies will not be able to withstand a near-term tightening of monetary policies continue to weigh on investor sentiment.

Any number of things could go wrong in 2022, whether related to Omicron or other potential COVID19 variants, misguided Fed policy, runaway inflation, or geopolitical tensions with China and Russia.

The start of the new financial year has been marked by an unusual phenomenon in the financial markets: European stock markets are performing better than Wall Street.

Securities markets have started off the year with their worst performance since 2016. In the current scenario, characterized during the last few weeks by disappointing performance in the tech industry and high volatility, one conclusion can be drawn: this may be one of the most difficult years to manage.

The International Monetary Fund's January 2022 update compared to a consensus view once again dampens optimism and forces us to give a chance to what we normally handle as a stressed scenario in terms of aggregate growth, not only due to the collection of risks that skew the downward vision, but also because of an expected slow return to normality accompanied by epidemiological shocks that will continue well into 2023.

The first half of last year saw one of the fastest periods of economic recovery on record. This solid acceleration was further supported by the release of savings, fiscal support from governments, looser monetary policies from central banks, and less aggressive socio-economic restrictions than those experienced during the first wave of contagion.

In the wake of the pandemic, central banks set to work to address issues such as inflation—now at unprecedented levels—highlighting the importance of the energy crisis and supply problems in shaping price levels.

Rising yields are the natural result of the change in expectations about monetary policy and inflation we’re witnessing.