I felt it would be good to track the returns on a regular basis since the returns will fluctuate from time to time depending on the stock market.
Here are the movements for this month:
The USA fund is the best performer, one head above the rest. The SGP portfolio dipped slightly. The bullish run in cryptocurrency portfolio dropped slightly this month, but I believe it will continue.
There was a bit tech bull run in the last couple of days.
Here's what the market is saying about the interest rate cuts:
However, investors are still concerned that the Federal Reserve may not wind down its aggressive monetary tightening as quickly as market participants expect.
The last Fed meeting in December had markets increasingly expecting rate cuts to begin in March 2024. These expected cuts were also anticipated to be much deeper than what the central bank had forecast for the year.However, those expectations are in doubt this week after strong December retail-sales data and after policy makers talked down expectations for an early start to rate cuts. Investors in both stock and bond markets are now speculating that the central bank will be in no rush to cut borrowing costs as the economy shows signs of resilience.
The Ukraine and Israel-Hamas war is still ongoing, though the newspapers are reporting less of them now. There is also a worry that Trump may become President again, though it is generally expected it will be good for the markets.
Meanwhile, China missed its growth targets for Q4 2023, which caused its stock market to languish at 5-year lows.
I have also noticed something that I believe is already quite well understood, but worth reiterating here:
* When interest rates are expected to go down, REITs will rise, but USD will fall
* When interest rates are expected to go up, REITs will fall, but USD will rise
As such buying USD is a good hedge against REITs.
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