Key Highlights for November 2024
- Global equities advanced as performance diverged among regions. US stocks surged to new all-time highs, whereas developed markets (DM) ex US peers lagged, and emerging markets (EM) shares declined.
- Regional equity market performance was impacted by the US election victory of Donald Trump and the Republican Party due to anticipated changes in economic and trade policy. US small caps excelled, reflecting expected benefits from tax cuts and deregulation.
- Bond yields initially surged following the US election result, but cooled near the end of the month, leading to gains across fixed income categories.
- The US dollar appreciated, which added another layer of pressure to non-US equities. The euro broadly weakened as economic momentum waned and government crises emerged in Germany and France. The Japanese yen strengthened as expectations for further monetary policy normalization firmed.