2024 Outlook

Ken Mahoney
Connor Mahoney
 
 
 
 
 
 
One thing is certainly clear as we have entered the 2020’s - this is not your 2010’s market. High interest rates fundamentally change the way markets act and are one of the most important factors that drive all financial conditions.
Let’s simply use this depiction below of interest rates from 2005 to current day. We all know what occurred in 2008 which eventually got sorted out and led into the ‘golden decade’ of stock investing.
Even towards the end of the 2010’s in 2018, the fed tried to raise interest rates and ended up cutting them back to near 0, resulting in the only negative return of the decade, only down a small 4% or so, and then the market continued to roar.
The fed’s aggressive tightening in 2022 saw a very rough year for the market’s that led into this years comeback, which has began fizzling out towards the end of this year. We are looking at even more interest rate increases going forward, and the earl...