Posted 1/2/2024, 5:50:00 PM
Seasonal Rally, Rate Cut Hopes Fuel Big Comeback for Bonds and Stocks in 2023
- Late October marked the start of a massive rally across financial assets into year-end, turning bond losses into gains
- The rally was fueled by favorable "seasonals" and hopes for a "soft landing" and rate cuts in 2024
- Bonds rebounded to finish 2023 in positive territory after two years of losses
- The S&P 500 surged 26.3% last year, with most gains driven by the final two months
- According to Deutsche Bank, investors will look back on 2023 and see that the final 9 weeks really drove returns