FNArena’s Weekly Insights – November 06 2023
In this week’s Weekly Insights:
-Outlook 2024: Is History Our Guide?
-Conviction Calls and Best Ideas
-December Index Rebalancing
By Rudi Filapek-Vandyck, Editor
Outlook 2024: If History Can Be Our Guide
Bond yields are down, and equities have put in a big rally starting from a deeply oversold position.
The past twelve months have shown the negative correlation between government bond yields and equities momentum can be a very powerful driver.
Assuming the US Federal Reserve is now done with monetary tightening, what should equity investors expect from the year ahead?
In a strange twist of ‘the market is always a compilation of competing views and narratives’, both bulls and bears are claiming history shows the scenario for 2024 will be written in line with their view for respectively strong gains or more weakness ahead.
Surely, history cannot be that ambiguous? Or is this simply a case of we, humans, simply see what we want to see?
Time for an investigation.
