A hat-trick of positive news lifts sentiment

This monthly commentary gives a round-up of global markets and trends.

In this edition:

• Global stock markets have rallied since mid-October, buoyed by lower US inflation data, resilient corporate earnings and signs of reopening in China
• The latest US CPI figures in October were lower than expected, bringing down government yields and interest rate expectations
• Companies have shown significant pricing power, using the inflationary environment as an opportunity to raise prices over and above input costs. This has supported earnings data
• China is rolling back some of its zero-Covid restrictions in the face of public protests. This could help unblock supply chains, which may curb inflation
• The US dollar has reigned supreme in foreign exchange markets in 2022, but is it losing its currency crown?