Luna Investments were a contributor at the recent Manchester Business Leadership Forum, and their Chief Investment Officer, Alex Brandreth delivered a presentation out lining the reasons for, and the impact of rising inflation on global markets. In a comprehensive economic update, Alex spoke about the impact of inflation and interest rates, the impact of the hostilities between Russia and Ukraine, living with Covid in a post-pandemic economic society, and how all of these key factors had influences on investing in the current economic environment.

And in a series of detailed, yet easy to follow graphs and presentation of data, Alex outlined that the consumer price inflation index has risen rapidly over the last twelve to eighteen months, but how inflation may well have peaked in the United States, prompting a similar slowdown for other nations, although this is yet to be recognised.

Alex went on to discuss the dependence on commodity production in Russia, and how the impact compared with previous historical conflicts. He also outlined the impact on the economy of the last couple of years of the pandemic, including the 'zero covid policy' in China.

Pulling all of these key factors together to discuss the impact on investments, delegates were advised to once again, think long-term and research previous 'bear and bull economies'.

In summary, Alex reminded everybody that:

• Inflation will likely peak in the coming months, it may have in the US already
• This is weighing on Consumer Confidence and Economic Growth
• The employment picture is very healthy
• Events in Ukraine will lower global growth and keep inflation higher
• Investor sentiment is at an extreme low in the short term
  
• Important to think longer term when investing

For a more in-depth review of the impact of rising inflation on global markets, you can read Alex's piece for The Luna Perspective below.

Alex Brandreth studied at Liverpool John Moores University and is the Chief Investment Officer at Luna Investments. Responsible for co-ordinating the overall investment strategy for Luna from asset allocation to security selection, Alex welcomed the opportunity to speak to PrimeGlobal members at the Business Leadership Forum in Manchester.

To discuss Investment-related matters, you can contact Alex on 0161 518 3500 / 07593 137 993 or Alex.brandreth@lunaim.com