Mark Dowding, BlueBay Chief Investment Officer at RBC GAM, discussed the latest macro views. Key Points: Strait of Hormuz closure creating supply chain disruption with impact yet to fully materialise in markets. Inflation expected to rise 1% above baseline across US and Europe, with potential for further increases if conflict extends. Divergence amongst central banks with the ECB and BOJ preparing hikes, while the Fed look unlikely to cut rates. Private markets facing further headwinds as higher rates expose leverage dependent models. Inflation-linked bonds offering an attractive hedge against supply shock risks and investor complacency on inflation.