Genus Commentary & Outlook
As 2014 begins, the world economy and equity markets appear to be in a good place. Global growth continued to inch forward in 2013, U.S. stock markets wrapped up their best twelve month returns since the 1990’s and most developed markets posted double-digit gains.
Pick-Up in Economic Wellbeing
The accelerating U.S. economy, a return to modest growth in Europe and a stabilizing Chinese rate of growth all point to a notable pick-up in the world’s economic well-being in the year ahead, which should give a small boost to Canada’s outlook, and maintain a positive backdrop for equity markets.
In something of a role reversal, the fast-growing emerging market economies lost pace while the developed nations gained strength. Leading “old world” economies such as the U.S., UK, Japan and Germany are at last showing some strength after years of notching far slower growth than the emerging economies.