Mankind invented a system to cope with the fact that we are so intrinsically lousy at manipulating numbers. It's called the graph.

Quick recap

• As expected, the FED hiked rates by 25bp this week, alongside significantly raising its near-term rates forecast. But, interestingly, the bank’s median longer-term rate projections decreased. After a brief rise in Treasury yields, markets quickly realized that the FED’s long-expected move had already been priced-in.
• Volatility remained elevated this week, but eventually, equity markets edged higher. Towards the end of the week, European stocks erased all losses suffered since the start of the Ukraine war.
• The most impressive move this week was the spectacular rebound in Chinese stocks. After losing 25% since the beginning of March, the MSCI China jumped by 15% within one day after top officials promised to ease the regulatory crackdown. It seems that Xi Jinping has either consolidated his power to a sufficient degree or is getting uncomfortable with the massive wealth destruction caused by his policies.

Please click below to access the complete report.

‍