U.S. markets were down for the second week in a row. Concerns around quantitative tightening, hawkish central bank postures, and high inflation escalated. Asian markets managed to show some resilience, helped in part by China broadly easing lockdown measures.
Bond yields continued to rise for a second consecutive week. High inflation data, tight labour markets, and hawkish statements from the Bank of Canada and European Central Bank drove the yield increase.
Oil continued to move higher. Demand for carbon fuels is increasing in Europe due to restricted access to Russian imports. The price of copper declined, partly due to copper supply chain disruptions starting to improve, adding downward pressure on the commodity. Higher U.S. inflation data drove up demand for gold, allowing the precious metal to end the week on a positive note.