UBS, the world's leading global wealth manager, is expecting a year of discovery that will reveal what a new “normal” looks like, after two years marked by lockdown and reopening. 2022 is expected to be ‘a year of two halves', with high rates of economic growth and inflation in the first half, giving way to lower growth and inflation in the second...

Gyrations in U.S. rates were highly challenging to navigate. Bond volatility surged in October as the Fed prepared to withdraw monetary accommodation and as investors struggled to assess the medium-term path of inflation.

Infamous for the belief that there is a bubble in long-duration assets, Richard Bernstein Advisors reckon there are sizeable bubbles inflating. A recent report investigates what's causing such widespread bubbles, their potential effects on the overall economy, and the interesting investment opportunities resulting from the bubble's misallocation of capital.

The Federal Reserve is very likely heading for a tapering of its bond purchases in November, but the longer-term outlook depends on how transitory the current bout of inflation is. If we are correct, i.e. it will fade more quickly than expected, then we should see the expectation of rate hikes delayed, supporting a further upward move in North American equities.

Credit conditions for European banks are normalising and prospects for the second half of the year look bright. A return to pre-crisis operating income with higher loss absorption buffers accumulated during the crisis will facilitate management of NPLs.