At midyear, expectations for rate cuts have been pushed out further, with far fewer anticipated, and markets have repriced accordingly. We anticipate growth in the global economy-however, while the U.S. economy remains strong, leading indicators suggest that the narrative of U.S. exceptionalism may fade. We see continued market broadening, with select equity and fixed income opportunities. Most importantly, the ongoing transition from the low rate post-global financial crisis environment to one characterized by higher interest rates may provide favorable conditions for active managers to outperform.
Global economies have stayed resilient amid uncertainty, but headwinds are likely to mount in 2024.
We think the Fed is likely to remain on hold in 2024. High yield and shorter-term investment-grade corporate bonds could offer opportunities.
Equity investors may benefit from casting wider nets in 2024. We see opportunities in Japan, emerging markets, health care, and artificial intelligence (AI).
Summary with Global Investment Specialist Ritu Vohora, CFA®
Get the T. Rowe Price Multi-Asset Division’s expert views on the relative attractiveness of asset classes and subclasses over the next six to 18 months.
Our chief investment officers weigh in on the state of markets and the economy heading into 2024. Continuing education credits available for financial professionals.
Take a closer look at key themes that could impact the economy and markets in the first half of 2024.
Key areas of focus for investors in markets around the world.
Weak macro outlook must be balanced with need to tackle inflation.
Views are the opinions of the Global Market Outlook Midyear Update authors as of June 7.
Active investing may have higher costs than passive investing and may underperform the broad market or passive peers with similar objectives.
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