Despite a slight dip in early August the S&P 500 has remained at or near all-time highs throughout the year. There has more dispersion this year across the different equity indices as you can see in the chart below. The S&P remains up over 4% with the Dow Jones Industrial roughly flat and the Russell […]
The stock market has continued to hover near and above all-time highs. The S&P 500 Index ended above all-time marks in 11 of 13 sessions from May 15th to June 2nd. The Index was up 7.87% year to date as of July 1st. The Dow Jones Index and Nasdaq were also up over 3% on […]
Stock markets inched higher in April while the economy appears to be rising with the spring temperatures. Earnings reports along with merger and acquisition activity helped to fuel the markets in April. 2,470 M&A deals were completed for the month which was the highest monthly volume since July of 2007 according to Dealogic. The commerce […]
Stock markets ended the first quarter near where 2014 began. The S&P 500 was down over 5% in early February but ended March with a 1.81% gain. Economic reports overall were muted due in large part to particularly cold and stormy winter weather which caused people and businesses alike to delay spending. Now that spring has sprung, we are looking for an economic rebound in the second quarter.
Stock markets began to heat up in February even as winter storms continued to cause problems throughout the US. The S&P 500 followed its largest monthly drop in January in nearly two years of 3.46% with an even larger 4.57% gain in February to reach fresh all-time highs. Volatility was bound to increase at some point following a relatively steady 2013 but such resiliency is good to see.
Attached is the updated table ranking asset class returns over the last 15 years which shows last year’s returns led by small cap stocks with commodities posting the largest loss. Often, instead of spreading risk and investing for the long term, investors look at last year’s big performers and want to move significant portions of their portfolio to those asset classes. This chart, however, is not a road map of where to invest for 2014 but an illustration on the importance of allocating risk across asset classes.