2024 Q4: Albatross 1.4

Understanding macroeconomic factors is essential for informed investing and sound financial decision-making. In this Macro Review, we analyze key indicators and global economic trends, providing concise insights to help you better comprehend the broader market environment. From central bank policies to economic growth and inflation trends, explore the driving forces behind today's financial landscape and position yourself strategically in an ever-changing economy.

Macroeconomic review

Macroeconomic indicators in 2024 showed notable shifts. The U.S. CPI rose 2.3%, from 308.42 (Jan) to 315.61 (Dec), signaling persistent inflation. Treasury rates broadly declined; the 1-month rate fell from 5.55% to 4.45%, while the 10-year yield rose from 3.95% to 4.65%, reflecting shifts in monetary policy to manage inflation. Money supply expanded moderately: M1 grew 2.47% (from 17,923.5B to 18,365.7B), driven by demand deposits and currency circulation, while M2 increased 3.30% (from 20,762.0B to 21,447.6B), indicating broader economic liquidity. Commodity prices moderately increased, with the Commodities Index rising from 99.23 to 103.5. Gold prices surged notably, from $2064.40 to $2777.30, reflecting inflation concerns and economic uncertainty.

Meanwhile, the S&P 500 index exhibited strong growth, climbing from 4742.83 in January 2024 to 6101.24 in January 2025, an increase of 28,64 % indicating robust investor confidence and returns despite inflationary and monetary pressures. These trends suggest an economic landscape characterized by inflationary pressures, falling interest rates, rising commodity prices, and strong equity market performance..

And the U.S. gross domestic product (GDP) is still growing.