2023-01-06 Markets

Morgan Stanley Research tells us that 2022 was the first year since at least 1870 in which both US stocks and long-term bonds fell by more than 10%. The rest of the world, I add, was not that much different. In other words, 2022 was an exceptional year, but of course not an unprecedented one, as many have remarked. Stuff happens, period.
Last week, the first of 2023, was not a bad one, especially for emerging markets equities (+5.5% in Euros), but pressures remain on credit markets which logically suffer the most in generally tightening monetary conditions. Let’s hope central banks don’t change their course and make a cruel worthless joke of the pains delivered last year.
[Cover: The New York Times.]