Meanwhile, central banks around the world are expected to keep hiking interest rates until inflation is firmly under control, and the northern hemisphere is heading into what could be a long, cold winter of high energy prices resulting from Russia’s war on Ukraine. However, a key part of the yield curve also inverted, indicating the risk of a recession is growing. Uncertainty has been the name of the investing game for most of 2022.Ĭonsider the reaction to cooler-than-expected US inflation data for October: Investors were euphoric, with the S&P 500 posting its best reaction to a CPI report on record.

Get our new personal finance newsletter delivered weekly to your inbox.

Read the latest edition of How to Invest $1,000,000 here.