A turning point has been reached with markets falling as the era of free money comes to an end. Tighter money means greater financial volatility.

A reminder of economic fundamentals may be useful when considering financial markets. 2022 is a year of reaction to 2021. This year is about normalisation.

Our selection of the quarter’s most notable global events

In 2021, the prices of goods and services rose more than they did in any year since 2008, leading to concerns about the potential impact on consumer spending, interest rates, and corporate margins.

Global equities continued to rally in 2021, with the S&P 500 hitting a series of all-time closing highs and ending the year near a record.