“The process of credit creation hasn’t picked up since June 2021”—weakening global credit impulses may spell trouble for markets and economic growth going into 2022. Layered into that backdrop are central bank tightening and an all-important election year for the Biden administration. Alfonso Peccatiello, author of the Macro Compass, explains how these macro dynamics as well as a progressively tighter labor market and demographic forces will shape bond price action, which spills over into other asset classes such as equities. Interviewed by Maggie Lake.