2023 Market Review

US Stock Market: +26.1%
International Developed Stocks: +18.4%
Emerging Markets Stocks: +9.0%
Global Real Estate: +9.4%
US Bond Market: +5.7%
Global Bond Market ex US: +5.0%

2023 was a year that defied expectations by many accounts. Many forecasts predicted that the US economy would enter a recession in 2023 as the Federal Reserve raised interest rates to fight high inflation. Alas, economy remained resilient, inflation eased, and the Fed held off on raising interest rates. Many economists who called for a recession have since walked back their predictions. This underscored that guessing where markets may be headed is not a reliable way to invest.

A year that many speculated would be lackluster for US stocks saw the S&P 500 post gains of over 26%, extending a bull-market rally that began in 2022. Global stock markets also bounced back after posting their worst year since the financial crisis. Equities, as measured by the MSCI All Country World Index, rose over 22% despite rairswd geopolitical tensions. Developed international stocks increased almost 18%, while emerging markets increased just short of 10%.