July Monthly Commentary
Stocks rebounded in July despite rising inflation and pessimistic macroeconomic data. In the U.S., headline CPI trended higher, rising 9.1% over the 12 months ending in June. On an inflation-adjusted basis, the U.S. economy contracted at an annual rate of 0.9% in the second quarter, and entered a technical recession with two consecutive quarters of […]
June Monthly Commentary
The global rout in equities continued into June as elevated inflation levels and tighter monetary policy exacerbated concerns around a recession. In the U.S., headline CPI unexpectedly accelerated, jumping 8.6% over the 12 months ending in May, while core CPI (excluding food and energy) was up 6%. In response, the Federal Reserve raised its benchmark […]
May Monthly Commentary
Despite a difficult start to the year, global equities modestly rebounded in May. The S&P 500 Index eked out a gain of 0.2% for the month, even as mega-cap technology names faltered with rising interest rates and earnings pressure. Growth equity underperformed value with the Russell 1000 Value Index gaining 1.9%, while the Russell 1000 […]
April Monthly Commentary
Tighter monetary policy, geopolitical tensions and lockdowns in China dragged down equities in April. The backup in global bond yields remained a headwind for stocks, with growth equities generally underperforming value. In the U.S., the S&P 500 plummeted 8.7%—its largest monthly decline since March 2020. Outside the U.S., markets outperformed on a relative basis despite […]
March Monthly Commentary
Ongoing geopolitical tensions and tighter monetary policy amid persisting inflationary pressures weighed on capital markets in March. The FOMC hiked rates for the first time since 2018, increasing interest rates by 25 basis points to a range of 0.25%-0.50%. Further, policymakers revised upwards their forecast for interest rates and inflation, and signaled for more aggressive […]
February Monthly Commentary
Risk-off sentiment washed over markets in February as the Ukraine-Russia conflict fueled concerns around the potential impact on the global economy, the geopolitical landscape, and capital markets. While our expertise is focused on investment portfolios, we are mindful of the suffering and our thoughts and compassion are with those impacted. Though the conflict was the […]
January Monthly Commentary
Global equities sold-off in January as the Federal Reserve assumed a more hawkish stance as persistent inflation pressures pushed yields higher. Headline CPI increased 7% in 2021, marking the largest calendar year increase since 1981. While the Fed Open Market Committee met last month and announced it was holding rates steady at 0%-0.25%, Fed Chair […]
December Monthly Commentary
Global equities ended 2021 with a bang as strong earnings growth and positive risk asset sentiment bolstered returns in December. In the U.S., the S&P 500 Index gained 4.5%, pushing year-to-date returns to a whopping 28.7%. Non-U.S. equities were also in the black with the MSCI EAFE and MSCI Emerging Markets indexes up 5.1% and […]
November Monthly Commentary
Risk assets sold off in November as investor sentiment weakened amid concerns around ongoing inflation and the pandemic. In the U.S., October Consumer Price Index data revealed higher-than-expected prices with headline CPI increasing 6.2% year-over-year. In an unexpected shift, the Federal Reserve Chair Jerome Powell assumed a more hawkish tone and signaled that tapering of […]
August Monthly Commentary
Following a strong rebound in July, equities came under pressure last month as central banks around the globe reiterated their commitment to tighter monetary policies amid persisting inflationary pressures despite softening growth. In the U.S., the S&P 500 Index fell 4.1%, pulling year-to-date returns to -16.1%. Value stocks outperformed on a relative basis with continued […]