Bottom Line

The economic outlook remains in “contraction” territory but continues to be supported by resilient activity in the services sector.
Valuations remain “expensive” on some measures as stock market advances exceeded resilient earnings growth particularly in the US.
Momentum for equities has stabilised on a more sustainable positive trajectory after repeated dips into “negative” territory.
Sentiment in markets remains in “neutral” territory although equity positionings have strengthened with the latest rally.

As ever, we are constantly monitoring markets. Should conditions change, particularly with regards to the economic regime or signals from our valuation, momentum, and sentiment framework, we will adjust our asset allocation accordingly.

In accordance with the regulations in force, we inform the reader that this document is qualified as a promotional document. Unless specified, all figures and statistics in this report are from Bloomberg and Macrobond on 24/11/2023, publication completion date.