Deutsche Bank – Annual Outlook Finding growth, 2024

Deutsche Bank predicts that 2024 will be a good year for investors despite current global challenges. The outlook suggests that the main asset classes will have reasonably good prospects in the coming year, although risk management remains important. The debate over future monetary policy loosening is ongoing, and markets will be sensitive to changing views. The first rate cuts by the Federal Reserve and the European Central Bank are expected in 2024, but not too many. Economic growth is seen as the main issue, with expectations of a slowdown in the coming quarters but a pick-up later in 2024. Sovereigns and fixed income are expected to be attractive asset classes, particularly investment grade, while high yield may face refinancing issues. Equity markets may interpret restrained rate falls in different ways, depending on whether it is seen as a sign of resilience or inflation concerns. Long-term trends such as technology and the environment are important factors for investors to consider, as they drive economic change and present both risks and opportunities. The energy transition serves as an example of how technology and the environment are interconnected.