Monthly Economic & Market Outlook Insights

Entering the fourth quarter, markets are digesting the Fed’s first rate cut in four years, labor market supply and demand are returning to equilibrium, inflation is resuming its downward trend, and solid consumption is continuing to power economic growth. Amid this new phase of the economic cycle, equity markets are poised to continue their strong performance even as they broaden out into previously unloved sectors.

Our September Outlook analyzes the latest trends in labor markets, inflation, and equity performance. With the Federal Reserve’s policy shifts and evolving market conditions, we explore what these developments mean for investors and their portfolios.

The August Outlook examines the U.S. economy’s steady growth amid still strong, but slowing job and wage increases. The outlook also covers global economic developments, including European growth challenges, Japan’s domestic demand rise, and China’s ongoing economic adjustments, with a focus on how these factors influence monetary policies and market trends.

The soft-landing scenario is showing signs of becoming a reality as the U.S. economy appears to be slowing just enough to revive dormant disinflationary forces but not enough to provoke fears of recession. While headline inflation has resumed its march toward the 2% target, the Federal Reserve awaits further confirmation of progress, especially in the stickier shelter and services components, before initiating rate cuts.

Stay ahead of the curve and gain valuable insights to inform your investment strategy in our June 2024 Economic & Market Outlook.