In 2023, the year concluded with a remarkable turnaround, characterized by a year-end surge driven by the collective relief that the U.S. economy had managed to steer clear of the recession many had feared would dominate the year.

Markets were off to one of the best starts in decades during the first seven months of 2023, as economic data strengthened market participants’ view that a recession could be avoided and that the Federal Reserve could soon cease monetary tightening and perhaps might even begin lowering interest rates.

Warren Buffet offered this bit of salient advice to investors: “We don’t have to be smarter than the rest. We have to be more disciplined than the rest.” It is the disciplined investor who, staying patient in the face of a rush to action by other market participants, earns the rewards that accrue to investors over time.