Q4 2023 Asset Allocation Outlook: Let's do the time warp again
In their latest investment outlook, our Asset Allocation team delve into the ‘time warp’ around an expected recession, arguing we’re not out of the woods just yet.
There are parallels with the year 2000, when the Fed felt comfortable holding rates in restrictive territory through the summer and autumn, only to be surprised by the extent to which the economy slowed.
Despite the warning lights flashing red, the recession still hasn’t arrived. But that doesn’t mean we’re out of the woods – this all feels eerily familiar.