Forecasts 2023 – What can we expect on the market this year? [Special Report]

The key price drivers on global markets in 2022 were primarily high inflation readings, the war in Ukraine and the related energy crisis in Europe. The past year also brought a continuation of the bear market on the cryptocurrency market, and the loud collapse of the Luna project or FTX cryptocurrency exchange only deepened the decline. What will 2023 look like? Wishing to answer this question, XTB has prepared for its clients special reportin which analysts from a popular brokerage house answer seven key questions for this year.

The markets have certainly not been dull over the past few years. After the 2020 crash triggered by the COVID pandemic and the euphoric 2021 “all” boom, we witnessed a rather tumultuous 2022 where fear of inflation drove stock prices down and the war in Ukraine sparked volatility in energy markets. Looking to the year 2023, investors feel a mixture of hope for the so-called. pivot Fed and fears of a possible recession…

Lower liquidity will sink the markets?

The reaction of the US central bank to the increase in prices in the economy was almost allergic. In 2022, we witnessed the most aggressive cycle of interest rate hikes in the United States in nearly 40 years. Jerome Powell has repeatedly stressed over the past few months how determined he is to bring inflation back to the Fed's target of around 2%. The progressive tightening of monetary policy in the United States and Europe means that there is less and less money on the market. Markets expect the Fed may want to bring its balance sheet below $7 trillion from $9 trillion held at its peak. We found out how much a significant decrease in liquidity increases the risk of a systemic event, among others in in 2008 when Lehman Brothers went bankrupt.

Receive your free 2023 Market Outlook report and learn:

• Will inflation go down?
• Will we witness a real Fed pivot?
• Will the cryptocurrency market bounce back after the 2022 scandals?

What next for oil and natural gas prices?

2022 was a real rollercoaster for energy commodity prices, and the next twelve months may be similar. There are currently two opposing forces in the oil market. On the one hand, OPEC+ is struggling to bring production back to pre-pandemic levels, even while reducing production targets. Added to this is the introduction of a price cap on Russian oil, which may lead to further supply problems. Will we therefore witness dynamic increases in the price of crude oil? XTB's offer includes CFDs on as many as 26 commodity market instruments, including energy resources such as crude oil, natural gas and gasoline. By investing in XTB, you have the opportunity to take both short (sell) and long (buy) positions, thanks to which you can take advantage of both increases and decreases in the prices of popular commodities.

READ: How to invest in commodities? [GUIDE]

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