LC Investment Playbook Weekly Update - 8 August 2022

Macro Highlights:

Real Rates Still Negative on the Short End

Fixed Income Highlights:

High Yield Spreads Likely to Have Room to Widen, US Credit- YTW Heat Map, Euro Credit- Excess Returns

Equity Highlights:

Weakening economic conditions see pivot by central banks, overly bearish view is not justified, falling bond yields created tailwind for global equities

Currencies & Commodities:

Falling commodity prices not a reflection of increase in supply, USD to maintain strength, Gold continues to suffer but may be attractive play in long term