13 June 2022
Welcome to our “Mid-Year Outlook”, the investment strategy update on prospects for global markets from Barclays Private Bank, which is also available to download as a PDF at the bottom of this page.
As the US central bank hikes rates to counter soaring inflation and the global growth outlook weakens, many financial markets are feeling battered this year. This month’s report shines a light on whether markets and economies might perform any better over the rest of the year, or could there be worse still to come?
In addition to providing insight and context behind the major trends at play, as well as our usual asset class and financial market analysis, you’ll find our sustainability article, where we we ask if the energy crisis could actually be reinforcing Europe’s fossil fuel addiction along with which renewables offer attractive investment opportunities. Without doubt these are extraordinary times, but the long-term case for investing remains solid.
As always, we hope you enjoy the articles and we thank you for entrusting us with your investments.
Jean-Damien Marie and Andre Portelli,
Co-Heads of Investment, Private Bank
After a market sell-off, signs of inflation peaking bode well for the rest of 2022. However, having a well-diversified portfolio will remain key.
As booming inflation and higher interest rates start to bite, the American economy still looks well placed to outperform developed market peers.
In the middle of a slowdown, housing market slump, and COVID restrictions, does China have a hope of meeting its official growth target this year?
From hopes of an economic boom in the eurozone this year, in the shadow of a war in Ukraine and soaring prices, is the bloc facing a recession now?
Facing the biggest hit to living standards since 1956, the UK economy is still on course to grow at a respectable lick. But how much longer can this last?
Discover why there are reasons to be more optimistic about prospects for equities, though portfolios may need to be positioned more defensively.
Do signs that peak inflation is close portend better times for bond investors this year, or is elevated market volatility here to stay?
Find out how locking in your capital for some time in illiquid investments, like private equity, can help to boost portfolio performance.
Discover why more diversified portfolios could be key to bolstering performance, with investment returns likely to be lower than seen in recent years.
As European powers now prioritise energy security and affordability in their shift away from fossil fuels, which renewable fuels stand to profit?
It’s been a hairy year for investors. Find out why staying invested, and avoiding the urge to sell, in diversified portfolios usually pays off.
Get to the bottom of why India’s economy and equity markets are outperforming many peers, as inflation booms and interest rates are on the rise.
Despite soaring inflation, central bank policy still aids “quality” developed market (DM) equities and gold, while DM bonds are preferred in debt markets.
All the articles published in the Mid-Year Outlook are also available to download here as a PDF:
