“Inflation will start dropping a lot from March or April onwards. This is across the board we are going to see everywhere. Whether we have a recession or not that will depend a lot on consumption,” says Manish Singh, CIO, Crossbridge Capital.
Investors will be keenly watching the U.S. Federal Reserve, where the FOMC will convene to meet on December 13-14. While the street is expecting the central banks to slow the pace at which it raises interest rates, it has in the past signaled that it is not yet close to hitting the pause button to tighten monetary policy given persistent inflationary pressures.