The oil majors reported record earnings in 2022, as energy markets were driven higher by the invasion of Ukraine and sanctions on Russian oil & gas exports. BP, for example, generated profits that were the highest in its history.

China’s vice premier Liu He declared to World Economic Forum delegates in Davos this year that “China is back”. Following the pandemic, the Chinese economy reopened in late 2022 and since then has surprised forecasters with the speed of its recovery.

February proved disappointing for markets, as stronger economic data crushed expectations of falling inflation and an early pivot in interest rates. Central bank rhetoric has become more hawkish and higher terminal interest rates are now forecast.

Recent US economic data has been stronger than expected. Domestic unemployment is now at a 53-year low, while retail sales and business activity, particularly in the services sector, have accelerated.

Tensions between the US and China rose after the US shot down a balloon, which it alleged that China was using for the purposes of espionage. The US also warned China against supplying Russia with weapons, saying it could risk escalating the war in Ukraine.

Artificial Intelligence, or AI, has long been hailed as the most significant technological leap since the Industrial Revolution. After decades in development, AI could now finally be fulfilling its promise.

Ukraine marked the anniversary of Russia’s invasion, as President Biden, on a surprise visit to Kyiv, promised ‘unwavering support’. Energy price volatility remains high on the agenda, and with it the possibility of sticky inflation.

European countries are locked in a heated debate over how best to respond to the Biden administration’s Inflation Reduction Act (‘The Act’), amid mounting evidence that it has already caused the EU to lose out on green investment to North America.

Having touched a 20 year high in September 2022, the US dollar index has subsequently eased back to levels last seen in mid 2021. Is this recent weakness likely to continue and, if so, what opportunities does this bring?