By François RIMEU, La Française Asset Management's Strategist
September is for the moment the high point of an already historic year 2022. Although the fall in the equity markets was significant, it was small compared to the movements seen in
the bond markets.
Some examples of these movements:
- UK 10-year rates jump 121bps
- Real US 10-year rates rise by 87bps
- European real rates close 90bps higher
To find movements of similar magnitude, we need to refer to the most volatile periods of the last decades, such as October 2008. While there are many explanatory factors, three events seem to have had a greater impact than others.