General Overview 2024 looked like a transitional year. Geopolitical issues and interest rate cuts were the dominant themes. Ongoing conflicts showed no signs of de-escalation, while central banks initiated a policy of interest rate reductions following inflation stabilization, albeit more gradually than initially expected. In the last quarter of the year, the ECB implemented a double 25-basis-point cut, bringing the reference refi rate to 3.15% (making it -1.35% in the year).

General Overview The strength demonstrated by financial markets during the third quarter of the year—and continuing as of the date of this report—seems to contrast sharply with the international context. The tensions between Palestinians and Israelis have escalated into a full-scale war involving Lebanon and Iran, with the latter launching rockets toward Israel. The approach of the U.S. elections, which saw a shift in the Democratic camp between July and August from the incum

General Overview Accustomed to the chaos of recent years, the second quarter of the year passed without too many jolts, except for those related to the political world, such as the results of the European elections and the prospect of the upcoming American elections in November. On the one hand, the possibility of political instability following the European elections in France generated some fears and caused the markets to fluctuate for a few days; on the other hand, the fir