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The world’s economic pulse in November could be summed up in one phrase: risk is back in vogue. After a tumultuous year marked by uncertainty and caution, investors seemed ready to embrace risk across most asset classes, resulting in a month of strong performances, albeit with some notable exceptions.

Chinese stocks saw their sharpest decline in three weeks as investors awaited detailed fiscal stimulus measures following the Central Economic Work Conference (CEWC). The CSI 300 index fell 2.4%, erasing recent gains, while Hong Kong-listed Chinese stocks dropped over 2%. Commodities such as iron ore and copper, reliant on Chinese demand, also slumped, reflecting market scepticism about the government’s economic pledges. The CEWC emphasised boosting consumption and domestic demand, with plans to raise the fiscal deficit and strengthen the social safety net. However, specific policies, including growth targets, remain deferred until March, leaving investors cautious.

China’s top leaders plan to ease monetary policy and expand fiscal spending in 2025 as Beijing braces for heightened economic challenges, including potential trade tensions. The Politburo, led by President Xi Jinping, announced a shift toward a “moderately loose” monetary policy—the first such adjustment since 2011. Fiscal policy will also adopt a more aggressive stance, evolving from “proactive” to “more proactive,” according to state media. At the December meeting, officials pledged to stabilise property and stock markets and deploy “extraordinary counter-cyclical policy adjustments,” signalling a readiness to use unconventional measures to support the economy. These steps highlight China’s determination to bolster confidence amid external risks, including the prospect of U.S. tariffs.

A ceasefire between Israel and Hezbollah has taken effect, ending 13 months of conflict. Brokered by the US and France, the deal aims to cease hostilities in Lebanon and secure Israel from Hezbollah and other militant threats. Under the agreement, Hezbollah has 60 days to withdraw its armed presence from southern Lebanon, while Israeli forces will simultaneously pull back from the area. The ceasefire is intended to be permanent, with both Israel and Lebanon committed to promoting conditions for a comprehensive peace

An estimated 20,000 farmers and their families gathered in Westminster to protest Labour’s proposed “tractor tax” and inheritance tax changes announced in the recent Budget. The rally, which included well-known figures like Jeremy Clarkson, saw farmers from across the UK travel to London, filling Whitehall and Parliament Square. The National Farmers’ Union (NFU) warns that the inheritance tax reforms—limiting 100% relief on agricultural and business property to the first £1 million—could force farms to be broken up or sold. Farmers argue that this policy threatens food production and rural livelihoods. The demonstration highlighted widespread concerns about the potential economic impact on family farms, urging MPs to reconsider the proposed changes.

Global markets faced a turbulent October as a mix of economic, political, and policy-related challenges weighed on investor sentiment. 2024 has seen equity markets deliver positive returns but part of these returns were given up in October. Markets had several things that they looked to address through the month, which included the UK budget, a weaker U.S. jobs report, mixed corporate earnings from major tech companies, and uncertainties surrounding the U.S. election. Additionally, the Federal Reserve’s slower path for rate cuts, ongoing inflation concerns, and fluctuating oil prices due to Middle Eastern tensions added to market pressures, while gold continued to rally on the back of all these market uncertainties..