Global equity markets had a strong start to the year, but suddenly, almost out of nowhere, the wheels fell off. Bond markets priced in higher interest rates due to stronger economic growth in the US, Europe and elsewhere. It showed that wage growth had jumped to 2.9%, the fastest pace since 2009 (although not a historically high rate). They wanted to achieve wage growth and inflation and it seems unlikely that they will overreact when it materialises. The buoyant global economy in turn is unlikely to be impacted by market volatility.

Source: The North Africa Journal February 12, 2018 14:15 UTC