Global Asset Allocation Team Market Update – December 2023

Financial markets had a blockbuster month in November, with investor wagers for a dovish monetary policy pivot sparking a profound rally across both stock and bond markets. Notably, some tentative signs that both economic and inflation data are cooling boosted optimism that the Federal Reserve has ended its aggressive hiking campaign, with speculation also building that the central bank will swiftly pivot to rate cuts in the first half of 2024.