Financial markets experienced a challenging February as it grappled with the repercussions of the Russian invasion of Ukraine. During the first half of the month, investors were concerned that global central banks may suppress economic growth in their efforts to get inflation under control by hiking interest rates at a faster pace than anticipated.
Global financial markets have been sent reeling following decades-high US inflation and an increasingly hawkish interest rate hike outlook. The Ukrainian invasion by Russia has exacerbated market volatility and pushed equity markets further into correction territory. We provide some investment perspective, given the prevailing uncertainty, by looking at what stock market history has to teach us and the course of action long-term investors should adhere to in order to achieve their investment goals. Now is not the time to sell; in contrary.
November was dominated by rising coronavirus hospitalisations in parts of Europe and concerns about the new Omicron variant. Markets started the month off strongly, with all major US indices reaching new highs, but hawkish remarks from Federal Reserve Chair Jerome Powell and uncertainty over the new variant sent markets into a tailspin to conclude the month.