What were the winning strategies in 2004?

The year started off on a positive note, with equity markets continuing to benefit from the rebound that began in the second half of 2003. Nevertheless, the rally lost momentum after the first quarter, as global markets were caught in a tug-of-war between expectations of rising interest rates and strong fundamentals. Meanwhile, bond markets were dominated by changing expectations about the timing and extent of interest rate hikes. Currency markets had been volatile, while commodity prices remained firm. In particular, oil prices surged to record highs, casting further doubts about the sustainability of a global economic recovery.