The Fed hinted that its asset purchasing activities are likely to halt in March 2022 and future rate hikes are expected to combat surging inflation. 2y10y German Bund yields surged between 9bps and 21bps in January amid spillover effects from the Fed’s hawkish hints as expectations for a March policy tightening thickened. UK gilts’ yields surged in January amid a soaring inflation outlook and expectations of interest rate hikes by the Fed and BoE. PBOC further slashed one-year and five-year LPR amid China’s slowing economy amid strict covid restrictions, property market slumps and debt reduction campaigns.