Stevenson Holtby Investment Management Group

Gobal Insight Monthly - January

By Portfolio Advisory Group

In this month's issue:

Global Insight 2024 Outlook highlights: Bonds are back - Whether the U.S. economy will finally tip into recession and with the return of bonds as an attractive complement to stocks in a portfolio, investors have much to consider this year. Our 2024 Outlook examines the opportunities and challenges facing markets and asset classes in 2024.
Global equity: More to come - Our view laid out in the Global Insight 2024 Outlook is unchanged. We expect new highs in most major stock markets early this year, most likely followed by a U.S. recession.
Global fixed income: The subtraction of all fears - As the fear of inflation dissipates, along with other concerns that hung over fixed income markets in 2023, we look at what investors can expect from what should be a lower rate environment in 2024.

By Portfolio Advisory Group

In this month's issue:

Are equity markets entering the AI era? - Two contrasting dynamics have shaped equity markets in 2023: while a handful of tech-linked behemoths have accounted for the lion’s share of gains, the rest of the market has followed a more tepid trajectory. A key driver of this trend has been the emergence of generative artificial intelligence. But despite the stock market’s AI enthusiasm, potentially transformative technologies often bring investors more questions than answers.
Global equity: Two sides of the same coin - Surging bond yields have brought good news to investors overall on a couple of fronts. But they’ve also come with negative effects for equity investors. Our assessment of these dueling narratives leaves us retaining our Market Weight positioning in equities within a global portfolio.
U.S. recession scorecard: Different month, same status - With some data still to come, there have been no sufficient changes this past month necessitating adjustments to the positioning of our seven U.S. recession indicators on the Scorecard.

By Portfolio Advisory Group

In this month's issue:

New normal, old normal, or no normal? - With global interest rates achieving levels not seen in over a decade, some investors are beginning to wonder whether the era of zero and negative interest rates has ended. We explore what may be in store for the future of monetary policy.
Global equity: A narrowing path - While stock markets are likely to push through the recent consolidation phase and into a rebound rally, we see mounting pressures on the U.S. consumer narrowing the potential path to new highs. Our assessment of the hard vs. soft landing debate leaves us committed to stocks for the time being.
U.S. recession scorecard: Calm - The winds of change for the Recession Scorecard are at a standstill, but gusts could pick up as Q4 progresses.