Global Market Review – January 2023
Markets enjoyed a strong start to the year, with all major asset classes aside from commodities providing positive returns in January. 10-year bond yields in developed markets fell by 20-40 basis points over the month, which supported assets that had found rising yields a persistent headwind throughout 2022. Property was among the strongest performers and within equities, Asia and emerging markets were buoyed by China’s lessening of Covid-19 restrictions. Easing inflation and expectations of a slowing tightening cycle have ushered in fresh optimism to financial markets, but lingering risks remain, and the likelihood of elevated market volatility continues to be high.
