During the one-month period to 31st March 2022, major equity markets, as measured by the aggregate FTSE All – World Index, rose 5.7%, taking the year-to-date loss to “just” 4.4%. The UK narrow and broader indices rose slightly on the month, outperforming the world average (sterlingadjusted) index by over 3% on a year-to-date basis. The VIX index fell, finishing the period at a level of 19.77. Key equity market drivers were the Russian invasion of Ukraine, Central Bank tightening, a severe Japanese earthquake and varying Asian covid developments. UK Government Fixed Interest stocks fell over the month along with corporate bonds and most other major government bond prices. The UK 10-year gilt ended the month on a yield of 1.61% with corresponding yields of 2.32%, 0.54% and 0.21% in USA, Germany, and Japan respectively. Currency moves featured a weaker Yen and stronger US Dollar. Commodities were generally firm across the board, many receiving an extra boost as a result of the military conflict.
See my April report here