Fisher Investments Reviews: Last Week in Markets—December 25 - December 29

WAAG Summary:

Fisher Investments recaps the biggest market, political and economic news from last week, including US initial jobless claims, Japanese unemployment and our 2024 forecast.

Global equities rose amid limited data releases to end the year. Our 2023 forecast called for a strong year, with inflation ebbing, no recession and Tech and other growth sectors leading. That happened, despite the late-summer to early-autumn correction. Our 2024 forecast calls for double-digit gains for global stocks. Young bull markets are stunningly hard to kill—reach one year old (as this one has) and they almost always celebrate a second birthday. The Investment Policy Committee will explain more about their market outlook in the forthcoming Q4 2023 Client Review Executive Summary.

In the US, initial jobless claims rose by 12,000 to 218,000 for the week ending December 23, above market expectations.

In Japan, the unemployment rate remained steady at 2.5% in November. Preliminary November retail sales rose 1% m/m and 5.3% y/y. Preliminary November industrial production decreased 0.9% m/m and 1.4% y/y. November imports and exports fell 11.9% y/y and 0.2% y/y, respectively.

The Week Ahead:

The US, UK, eurozone, Japan and China report final December services and manufacturing purchasing managers’ indexes (PMIs). The US also reports December’s unemployment rate and nonfarm payrolls. The US Federal Reserve releases the minutes from its December policy meeting. The eurozone announces November money supply (M3) and December inflation data. The UK posts November money supply (M4).

Source for all data cited is FactSet. This update constitutes the general views of Fisher Investments and should not be regarded as personalized investment advice. No assurances are made we will continue to hold these views, which may change at any time based on new information, analysis or reconsideration. In addition, no assurances are made regarding the accuracy of any forecast made herein. Global equities are represented by the MSCI World Index. The MSCI World Index measures the performance of selected stocks in 23 developed countries and is presented net of dividend withholding taxes and uses the maximum rate applicable to non-resident institutional investors who do not benefit from double taxation treaties. Past performance is no guarantee of future results. A risk of loss is involved with investments in stock markets.