Q4 2024 Quarterly Market Insights
Equities Outlook
Inflation levels continue to decline, leading the US Federal Reserve to begin lowering interest rates. While equity markets appear to be pricing in a soft landing, a potential derailment – whether caused by economic, political, or geopolitical events—may not be accounted for. Marco Pirondini, Amundi’s US Chief Investment Officer, explains how investors can prepare for these risks.
Fixed Income Outlook
The Fed has shifted its focus from fighting inflation to supporting the labor market. Jonathan Duensing, Amundi US portfolio manager and head of fixed income, explains that fixed income markets have already priced in 250 basis points of further cuts. This high bar may make it especially important for US investors to be aware of macroeconomic dynamics, vigilant about valuations, and open to flexible positioning across their portfolios.