Stock market 2024: uncertainty in the new year, interest rate cuts and global outlook
According to a report from www.trendingtopics.eu, stock markets have surprisingly risen in recent weeks, but there is uncertainty for international investors heading into the new year. The good news is that global inflation is expected to fall and a very likely interest rate cut by central banks is expected. The bad news lies in the delayed effect of general monetary policy. There are various aspects to consider in this context. 2023 was the best year for global stocks since 2019. There was a strong rally in US stocks on expectations of a rate cut by the Federal Reserve and other central banks. However, there are concerns about the delayed...

Stock market 2024: uncertainty in the new year, interest rate cuts and global outlook
According to a report by www.trendingtopics.eu,
Stock markets have surprisingly risen in recent weeks, but there is uncertainty for international investors heading into the new year. The good news is that global inflation is expected to fall and a very likely interest rate cut by central banks is expected. The bad news lies in the delayed effect of general monetary policy. There are various aspects to consider in this context.
2023 was the best year for global stocks since 2019. There was a strong rally in US stocks on expectations of a rate cut by the Federal Reserve and other central banks. However, there are concerns about the delayed effect of monetary policy, especially after the tightening measures in 2022 and 2023. Economists fear that this could have a negative impact on the economy in 2024.
A worrying development is the potential overvaluation of Chinese residential real estate and the possible impact on the global economy. The People's Republic of China plays a significant role in global GDP growth, but overvaluation of real estate could lead to a slowdown in growth. This would have a huge impact on overall commodity prices and could mean a further decline in inflation.
GDP growth forecasts in 2024 are rather cautious, both globally and in countries such as the US and the UK. This is reflected in the valuation strength of the technology sector, which continues to make up a large portion of the S&P 500 Index. The largest companies in this sector have a significant influence on the stock market, but regulators could take actions that could cause prices to fall.
Global signs regarding earnings are worrying, but analysts are predicting a rise in earnings in 2024. Nevertheless, the outlook for the stock markets remains mixed and depends on various factors such as interest rate cuts, the development of the global economy and the regulation of large companies.
Overall, there are some challenges and uncertainties for international investors in 2024 that need to be carefully analyzed and evaluated.
Read the source article at www.trendingtopics.eu