The unexpectedly upbeat surveys suggest that while the global economy could slow this year under pressure from high prices and interest rates, a recession appears less likely thanks to the receding threat of energy shortages in Europe and China’s postpandemic reopening. These positive developments suggest that the global economy may be able to weather the challenges it faces in the coming year.

There are growing divisions among the world's most influential central banks over their role in tackling climate change, as policymakers focus on reining in inflation.

According to Peter Toogood, chief investment officer at Embark Group, government bond yields are likely to rise in 2023 as central banks step up efforts to reduce their balance sheets. This would be "for the wrong reasons," Toogood said, as it would likely be due to inflationary pressures rather than strong economic growth.