February 2024 - Monthly House Views

Inflation fell sharply in 2023 but remains above the central banks’ 2% target and the “last mile” could prove a long haul. Resilient economies with robust labour markets are keeping up the pressure on wages and hence prices. In these circumstances, central banks are likely to cut rates gradually from spring. They would likely rather risk a deeper economic slowdown than risk letting inflation get out of control again, and investors hoping for a sharp rate cut cycle could be in for disappointment. What does this mean for investors and how does it impact our asset allocation?

Learn more in our February 2024 House Views: The Last Mile by clicking on the link here or the document below.