HSBC's head multi-asset strategist has highlighted the Federal Reserve’s hawkish messaging at its December meeting as a cause for concern:
- the hawkish shift by the Federal Reserve has led to higher yields
- this has triggered the "Danger Zone", meaning that January will likely be volatile across most asset classes
On the more encouraging side, this volatility
- to present appealing investment opportunities, as the underlying fundamentals remain strong
Further:
- anticipates that the first half of 2025 will deliver an ideal "Goldilocks" economic environment
- remains bullish US tech equities
Chair Powell preparing for a BIG cut?
Nope, put the cutters away Mr. P
