Global Asset Allocation Team Market Update – February 2024

After a blockbuster end to 2023, the new year got off to a cloudier start. Sentiment wavered somewhat as investors contemplated the prospect for aggressive monetary policy easing in an environment of still-robust growth and elevated inflation. In what was a busy month on the central bank calendar, policymakers cemented the end of their aggressive tightening campaigns and are shifting their focus to when to begin easing policy. However, they have made clear they need to see further progress in bringing inflation sustainably towards 2% before pivoting.