Economic Overview: New Administration Poses Opportunities, Challenges
Review of 4Q 2024
The S&P 500 rose 3.36 percent, bringing the year-to-date performance to 25.71 percent. Several major economic developments occurred during the fourth quarter, including an additional 0.50 percent in federal funds rate cuts and a decisive outcome in the November election, where Donald Trump and the Republican party gained control of the White House, Senate and the House of Representatives. The underlying strength of the U.S. economy continued to surprise to the upside, setting up an interesting backdrop for 2025. We expect the Trump administration to push forth its agenda against the Federal Open Market Committee (FOMC), which is keeping rates higher than expected to fight the renewed threat of inflation from Trump tax cuts and tariffs.
Click to read the complete Economic Overview.
Although the information included in this report has been obtained from sources we believe to be reliable, we do not guarantee its accuracy or completeness. All opinions expressed in this report constitute judgments as of the dates indicated and are subject to change without notice. This report is for informative purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any product or as investment advice for any purpose. Investors should contact their financial advisor prior to making investment decisions. The accuracy of any forecasts is dependent on the occurrence of future events which cannot be assured; therefore, actual results may vary from any forecasts.
