In 2022 we observed lower valuations across global markets and asset classes. The catalysts of this dynamic can be attributed to the fears of global recession, higher global inflation, strengthened USD, and higher cash rates. As these dynamics continue to build through the end of 2022, investors will continue to be faced with nuanced headwinds throughout 2023 but will have
In our beginning of the year outlook for 2022 we had pure conviction that US consumer price levels would remain elevated with reduced acceleration (relative to 2021), and the supply chain crisis would assume to ease thought this year. Plainly, we still stand on our conviction. We did estimate that we would see tightening labor conditions within the US economy
As the recent developments of financial markets playing accordingly to our initial projections, such as the 14% drop in the S&P 500, the 24% drop in the NASDAQ 100, the 9.7% drop in the Dow Jones, the Fed’s moderate normalization policy, and unwinding liquidity in the digital asset class, the commodity markets outperformed our consensus. We attribute this performance in