Axiome Quarterly Q3 2024

Everything everywhere all at once.  To borrow from the title of the 2022 Oscar winning film, almost every asset class enjoyed strong returns in the September quarter.  The lead role in this performance was played by central bankers.  The RBNZ cut the OCR by 25bps on 14th August followed by a further 50bps on 9th October.  The European Central Bank also cut by 25bps on 12th September, and the US Federal Reserve cut by 50bps on 23rd September.  Markets cheered and have baked in the view that the world is entering into a materially lower interest environment over the next few years.