Market Review December

Final Sprint

December 2023 was a breathtaking final sprint. Buoyed by the FED's announcement of a possible interest rate cut in September 2024, all asset classes accelerated to end the year in positive territory. Equities continued the rebound that began in November, posting excellent performances. Switzerland lagged behind, dragged down by the negative annual performance of heavyweights such as Nestlé and Roche. The Nasdaq is the world's best index, a mirror image of 2022.

The US Federal Reserve's announcement sent interest rates down around the world. The result is a rise in global bond indices, which end in the green for 2023. Switzerland has seen its rates plummet and is enjoying an excellent year. Swiss real estate, which has suffered badly over the past 2 years, surged and also ended the year in the black.

Oil is still hampered by expectations of recession. It ended a difficult year in the red. Finally, gold posted a performance of over 10%, touching its all-time highs.

The risk indicator was low in the final month of the year. Only the commodities sub-index is still in a risky zone.

MAIN performances

XO Risk Aversion Index - Composite 250D

XO Risk Aversion Index - Components