Global Market Insights: March 2024

March was a strong month for financial assets as positive returns were widespread across bonds, equities and commodities. Hopes for a "Goldilocks" outcome where growth and inflation are not 'too hot' or 'too cold' but rather 'just right' encouraged investors. Such optimism was founded by economic releases such as increased confidence about the future in each of the UK, US and Europe. Retail sales and housing data were strong in the UK, labour costs were lower than expected in Europe, and wage rises eased in the US. Amidst such news flow, central banks in the west sounded more dovish with regards to rate cuts, which supported gold's rise to another record high. UK assets were further bolstered by a budget which at the margin boosts growth going forward.