Investment Institute
Monthly Market Update

October Global Macro Monthly - Tighter global financial conditions

  • 26 October 2022 (5 min read)

Key points

  • Monetary policy continues to tighten across the globe as inflation remains far too elevated and is broadening from headline to core measures.
  • Economies continue to slow in the face of tightening conditions and deteriorating real incomes for corporates and households. The UK looks likely to be in recession from Q3, as do some Eurozone economies. The US may not see recession begin this year.
  • The UK has seen the downfall of its Prime Minister after the latest market havoc. Italy’s new government appears to have learnt from the UK’s travails. China’s Congress reiterated development as a priority. We await US midterms on 8 November.
  • Financial markets across the globe cope with tightening financial conditions. Sharp rises in US real yields and the dollar are symptomatic. Credit and equity markets have seen material adjustments but may not be fully priced for expected recessions.

Related Documents

Full Global Macro Monthly - October 2022
Download article (712.37 KB)
Full slide deck of our October Global Monthly Strategy
Download the full deck (2.03 MB)
Investment Institute

Our experts and investment teams outline their key convictions.

Visit the Investment Institute

Related Articles

Monthly Market Update

China Monthly update: Internal and external challenges remain

  • by Aidan Yao
  • 26 October 2022 (5 min read)
Monthly Market Update

September Op-Ed: Dollar reigns supreme

  • by Gilles Moëc , Chris Iggo
  • 28 September 2022 (7 min read)
Monthly Market Update

September Global Macro Monthly - Summer passes, winter’s coming

  • by AXA IM Investment Institute
  • 28 September 2022 (7 min read)

    Disclaimer

    This website is published by AXA Investment Managers Asia (Singapore) Ltd. (Registration No. 199001714W) for general circulation and informational purposes only. It does not constitute investment research or financial analysis relating to transactions in financial instruments, nor does it constitute on the part of AXA Investment Managers or its affiliated companies an offer to buy or sell any investments, products or services, and should not be considered as solicitation or investment, legal or tax advice, a recommendation for an investment strategy or a personalized recommendation to buy or sell securities. It has been prepared without taking into account the specific personal circumstances, investment objectives, financial situation or particular needs of any particular person and may be subject to change without notice. Please consult your financial or other professional advisers before making any investment decision.

    Due to its simplification, this publication is partial and opinions, estimates and forecasts herein are subjective and subject to change without notice. There is no guarantee forecasts made will come to pass. Data, figures, declarations, analysis, predictions and other information in this publication is provided based on our state of knowledge at the time of creation of this publication. Whilst every care is taken, no representation or warranty (including liability towards third parties), express or implied, is made as to the accuracy, reliability or completeness of the information contained herein. Reliance upon information in this material is at the sole discretion of the recipient. This material does not contain sufficient information to support an investment decision.

    All investment involves risk, including the loss of capital. The value of investments and the income from them can fluctuate and investors may not get back the amount originally invested.

    Some of the Services and/or products may not be available for offer to retail investors.

    This publication has not been reviewed by the Monetary Authority of Singapore.