The path of inflation going forward will determine if central banks across the globe continue to raise interest rates, says research from Qontigo. Its annual outlook says investors ended 2022 with a broadly neutral sentiment towards markets, but global uncertainty could undermine their confidence, research showed. A ‘hard landing’ is currently anticipated across Europe. At the same time, the U.S. is expected to see a short-lived recession in the first half of the year, followed by a strong recovery. However, this prediction is based on the idea that inflation will have peaked, with central banks becoming more accommodative in the second half of 2023.
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