Published 1 week ago
Several developments are converging on the global economy and financial markets at the moment. Each bring sits own causes for concern. Together, they bring a significant increase in volatility.
Should we be worried about Omicron?
Answering such questions is beyond the scope of this newsletter. What we can say is that the financial market is clearly asking itself this question and the effects are obvious. Stocks had been flat in the weeks leading up to omicron and bonds had been moving higher in yield. Post-omicron and they've entered into a familiar risk-aversion pattern marked by lower stock prices and bond yields.
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