April was the worst month since March 2020 for the global equity markets. The only asset class that performed relatively well was commodities however, it also lost its momentum towards the end of April primarily because of strengthening US dollar and fading economic conditions across the globe. Bonds lost ground during the month as rising inflation and monetary tightening had an equally negative impact on fixed income. Credit spreads also widened for investment grade and high yield corporate debt. Gold did not do well either given its sensitivity to real yields.

• Global Equities, in USD terms, lost 8% over the month.
• Global Investment grade bonds fell 4.2%, in USD terms.
• Yields of 10-yr US treasury rose to the highest level since Dec’18.
• Price of Brent crude ended April at $109 and Gold closed the month, down 2.1% to $1897 per ounce.

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