MARKET INSIGHT Prime Partners’ monthly analysis of global economic and financial market news. An encouraging first quarter but some doubts… While the first quarter of the year has just ended in solidly positive territory for most of the major equity and bond indexes, we have to admit that violent gusts of volatility, mainly linked to […]
January’s optimism crumbles in the face of reality.
As we discussed last month, investors were perhaps a little too hasty in giving way to optimism and embracing the prospect of a sharp recovery in the financial markets.
Since December, EU + G7 and Australia found an agreement not to buy Russian oil above USD 60 per barrel (crude oil at USD 76.2 today) in order to limit the export of Russian oil.
Investors prefer the glass-half-full option across the board!
So market participants have chosen to enter 2023 putting their doubts behind them.
Positive signs on inflation should not be ignored.
Overall, the trends noted throughout 2022 continued in December, with volatility, doubts and uncertainty again dominating.
Global economic turmoil and the challenge of optimal resource allocation.
Main goal of economy unchanged.
Investors still can’t look beyond the short term.
October was no different from the rest of 2022 for financial markets, with erratic movements in interest rates and on the main stock exchanges.
Oil price jumped just after the attempted invasion of Ukraine by Russia. It stayed at a historic high level until the beginning of the Summer. Since then, mainly due to the anticipation of a slowdown of demand in oil in the coming months by the Energy International Agency (EIA), the oil price went down. It has reached a level below USD 80 per barrel, just before OPEC+ set to reduce output from November.
