December 2023 Update
December 29, 2023
Making The News
Christmas came early for investors after US Federal Reserve chair Jay Powell gifted the markets a ‘dovish hold’. It was the biggest hint yet that the Fed could start to ease the squeeze by cutting interest rates early this year. US markets reacted by throwing a pivot party, with equity prices soaring and bond yields falling. The euphoria was contagious, with the MSCI All Country World Index — which tracks shares in 23 developed and 24 emerging markets – ended the month up strongly (i.e., +4,8% in Dec, +11,2% in Q4, and +22,2% in 2023).