Potential market surprises in 2023

With the global economy reeling from numerous shocks, 2022 has been challenging for investors. But what surprises could 2023 bring? The heads of UBS Asset Management’s investment teams outline their key predictions for the coming year.

Panorama 30 Nov 2022 2 min read
Barry Gill
Head of Investments

China booms

  • China rolls out a domestic mRNA vaccine program, enabling it to fully reconsider its zero COVID-19 policy
  • Chinese equities rebound as the country’s economic growth gets back on track

Oil spikes

  • The US stops running down its oil reserves, Chinese oil demand normalizes while Russian oil supply further contracts due to the ongoing conflict in Ukraine 
  • Spare capacity across the world is rapidly eliminated, leading to a spike in oil prices.

The Musk effect

  • Technology companies realize they are overstaffed leading to the largest mass lay-offs in the sector since the bursting of the dot com bubble 

Japan bond markets

  • The Bank of Japan (BoJ) abandons its Yield Curve Control policy. This removes the last anchor on global yields.

US and China relations

  • The US and China de-escalate tensions, finding common paths on trade and security, leading to 50% rally in global stock markets and a halving of developed market government yields.

Banking sector rebounds

  • Global banks become the best-performing sector due to rising rates and limited credit risk


Investment outlook 2023

In this edition of Panorama, our investment experts recap on the past investment year and explore where the challenges, opportunities and surprises might spring from.

Related insights

Read more

Contact us

Make an inquiry

Fill in an inquiry form and leave your details – we’ll be back in touch.

Introducing our leadership team

Meet the members of the team responsible for UBS Asset Management’s strategic direction.

Find our offices

We’re closer than you think, find out here