In Thee We Trust (or Maybe Don’t)

Nov 26, 2024

7:29 am

As we navigate the transition of power from the Biden administration to President-elect Donald Trump, it’s striking how analysts continue to argue that the US equity market can sustain further gains in the year ahead. Let’s be honest: few are willing to call a top in the US equity market, which has had a remarkable…

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Reflections on a Transition

Nov 19, 2024

9:35 am

• After initial euphoria, markets react to the disruptive nature of the transition to a new presidency • Q4 US growth may gain momentum from animal spirits • Market can sense the Fed’s concern about sticky US inflation • Equities may be set for further gains after recent consolidation • European markets are at sea…

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He’s Back

Nov 12, 2024

10:06 am

• President-elect Donald Trump has a strong mandate to push through • The market’s intial reactoin is fair with equity prices and bond yields higher • The pace of policy changes will depend on whether the Republicans win the House • The greater risk is to inflation – certainly if there is mass deportations, and…

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Macro and Markets Review for October 2024

Nov 7, 2024

7:13 am

From a macro perspective, the global economy was relatively stable in October, with few significant surprises. Inflation and growth data in developed economies largely aligned with expectations (see Chart 1). Central banks continued their easing trajectories: the ECB implemented its third rate cut of the year, bringing rates down to 3.25%, while the Bank of…

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