“You Retire Once… I Help People Retire Everyday”
The second quarter of 2024, from an index level, was a reasonably positive one for the markets as bonds tried to join stocks in their uptrend after a more difficult start to the year.
However, gains remained rather uneven across equity markets, with the few technology giants accentuating their gains, while the more cyclical (energy, financial and industrial) sectors ended the period with losses. Naturally, this environment proved more buoyant for the U.S. stock market (S&P 500), while Canadian equities (TSX) underperformed.
On the economic front, the gradual slowdown in inflation that we had been anticipating has indeed materialized, calming fears of a further overheating of the economy and bringing the soft-landing scenario back to the fore. As a result, several central banks have formally initiated a long-awaited new cycle of monetary easing, with the Bank of Canada and the European Central Bank, for example, cutting rates for the first time in early June.
In saying that, strong economic data and persistent inflation have kept the Federal Reserve on the sidelines so far this year thus far. In January, the market was overly optimistic in calling for six or seven rate cuts in 2024which has been drastically revised since.
Meanwhile, the artificial intelligence boom has drove up the mega tech names and continues to drive major U.S. equity indices to one record high after another as investors look to benefit from what many see as a truly transformational technological revolution.
Click on the link below to read my ‘Q2 Mid-Year Review’ as I recap everything I believe investors need to know about what transpired during the first 6 months of 2024 and what it potentially means for investors moving forward. I have a lot of data that leads me to believe the ‘Summer Rally’ isn’t quite over especially considering the backdrop of it being an election year.
There’s a lot to unpack so I hope you enjoy the read.
Asa long-term thoughtful investment advisor, it’s important to remind you, our valued investors, that it’s a marathon not a sprint. While bull markets are fun and with markets at or near all-time highs are great, we know this won’t last forever. It never does, so enjoy it!
The only thing I can guarantee you is that there will be bumps along the journey.The bumps are part of the process. I also recognize that investors will be rewarded handsomely if they stay focused on the long term.
Regardless of the path ahead, you can be confident that you have an investment professional in your corner who is committed to your success every step along the way.
Thanks for taking time out of your day to become better informed. AP
