LC Investment Playbook Weekly Update - 7 October 2022

Macro Highlights

• A review of the current environment and market expectations across US, Europe, UK, China and India.

• G4 Central Banks - Liquidity pullback at rapid pace.

• Euro Rates Volatility Above GFC Highs.

• US Job Openings Plummet In August.

Fixed Income Highlights

• A review of US and EU long term rates and credit.

• Avoid HY as Default Rates Are Likely to Soar.

• Bank Earnings Likely to be Challenged.

Equity Highlights

• A review of the current environment and outlook of US, Europe, China and India equity markets.

• Not Time to be Bullish on Equities Yet.

• EPS Growth Estimates Have Hardly Moved.

• Equities Are Still Expensive (Another POV).

• Bonds are still more attractive than Equities.

• China stocks valuations hit record lows.

• S&P 500 Q3 earnings expectations.

Forex, Commodities & Alternatives

• A review of commodity and FX pricing and rates.

• Dollar to Remain Strong With Hawkish Fed.

• Oil Prices Could Struggle In a Recession.