Financial markets survey: Stagflationary concerns increase for 2023

Deutsche Bank Research

With several risks to market stability in 2023 on the horizon market participants across the globe believe there is a growing likelihood of stagflation next year, according to a survey from Deutsche Bank Research.

The survey was conducted between 7 and 9 December, with 856 responses from across the global financial markets. Over the next 12 months, 92% respondents think there is a ‘high' or ‘very high' risk of stagflation in the UK, this is compared to 63% who predicted the risk in October last year. There are similarly concerns for the US and Europe where 62% and 86% saw a high or very high risk, compared to 33% and 42% respectively in the October 2021 survey. UK real wages slump 2.7% When asked what the biggest risks to market stability were for 2023, almost half (46%) opted for recessi...