1st Quarter Market Outlook

Since the Great Financial Crisis of 2008/9 equity market investors have been conditioned to ‘buy the dips’ as we have not endured a lasting downtrend in stocks. As we enter this cyclical slowdown markets will have to contend with persistent inflation, tightening financial conditions, high debt to GDP ratios and elevated valuations across most equity markets. This year may be the toughest test yet of ‘the buy the dips’ mindset.