Stay Home Or Go Global?

Check out the accompanying pdf and chart collection. Executive Summary: Global stock markets have climbed a wall of worry impressively this year despite all the global headwinds—including lackluster GDP growth, high inflation, and the tightening of many central banks’ monetary policies—as well as regional headwinds in Europe and China. The markets’ resilience may reflect investors’ relief that worst-case scenarios didn’t pan out. … Japan’s stock market is a case in point. It’s been soaring despite investors’ uncertainty over the BOJ’s next move. Will this holdout among central banks at long last lift its ultra-easy monetary policy and adjust its yield curve control program accordingly?