In the first quarter of 2019, stocks bounced back to erase almost all of their losses following the largest quarterly decline in a decade to end 2018.
US equities posted significant gains due to China-US trade disputes easing and the end of a government shutdown. Corrective gains in the equity market were also supported by market expectations that the Federal Reserve will not raise interest rates this year. European equities also recovered despite worries over economic growth. The US 10-year Treasury yields fell to their lowest levels since late 2017, as the three-month T-Bill yield rose higher than that of 10-year bonds, causing a sign of growing caution among investors about economic growth.
Let Us Catch You Up
If you don’t have much time, simply check out pages 3 and 4. You’ll see the overall performance of stock and bonds and an overview of major new events from the quarter.
An outline is included below, but be sure to download a full copy of the quarterly market review summary.
Notable Q1 Headlines
Strong US Job and Wage Growth Provides Assurance on Economy
China’s Annual Economic Growth Rate Is Slowest Since 1990
US Stocks Post Best January in 30 Years
Economy Notches 100th Straight Month of Increased Employment
Fed Keeps Interest Rates Unchanged; Signals No More Increases Likely This Year
Manufacturing Pullback Flashes Signs of Economic Slowdown
Q1 Index Returns
US Market +14.04%
Developed +10.45%
Emerging +9.92%
Real Estate +14.07%
US Bond +2.94%
Global Bond +2.96%