Weekly Returns

Over the course of one week, large-cap stocks yielded returns of 0.8%, while medium-cap stocks generated returns of 1.7%, and small-cap stocks performed the best with returns of 2.5%. When considering the year-to-date (YTD) returns, large-cap stocks delivered a modest 0.5% return, core stocks showed a stronger performance of 9.5%, and growth stocks outperformed the others significantly with returns of 19.2%. In the medium-cap category, the YTD returns for value stocks were -0.7%, core stocks earned 2.6%, and growth stocks gained 8.8%. Small-cap value stocks experienced negative returns of -3.7% YTD, while core stocks saw a small gain of 1.3%, and growth stocks performed the best with returns of 6.1%. In the international and developed markets, the EAFE index showed a 0.4% return over the past week and a year-to-date (YTD) return of 11.7%. Looking specifically at European markets, there was a 0.2% return over the week, while the YTD return stood at 14.2%. Among European countries, France had a 0.4% return for the week and an impressive 18.0% return YTD, while Germany had a strong week with a 1.3% return and a YTD return of 18.5%. However, Italy experienced a slight decline with a -0.5% return for the week, although its YTD return was positive at 18.9%. Japan recorded a 1.2% return for the week and a YTD return of 10.9%, while Spain and Switzerland had negative returns for the week, but positive YTD returns of 16.6% and 14.2% respectively. The United Kingdom had a minor decline of -0.2% for the week, but still achieved a positive YTD return of 9.2%.

Moving to emerging markets, the EM index showed a 0.5% return for the week and a YTD return of 3.0%. Among specific countries, Brazil had a 0.6% return for the week and a YTD return of 6.1%. China, however, experienced a decline with a -0.8% return for the week and a YTD return of -3.0%. India also had negative returns, with a -1.2% return for the week and a YTD return of -1.9%. On the positive side, Indonesia showed a 0.5% return for the week and a YTD return of 10.3%, while Korea had an impressive week with a 4.2% return and a YTD return of 12.0%. Mexico experienced a decline of -1.9% for the week but had a strong YTD return of 23.6%. Unfortunately, there was no data available for Russia, while Taiwan had a remarkable week with a 5.1% return and a YTD return of 14.9%.

Finally, in the S&P 500 sectors, the index itself recorded a 1.7% return for the week and a YTD return of 9.9%. Among the sectors, communication services showed a notable performance with a 3.1% return for the week and an impressive YTD return of 31.4%. Consumer discretionary had a solid week with a 2.6% return and an 18.4% YTD return. On the other hand, consumer staples had a decline of -1.6% for the week, although the YTD return remained positive at 2.4%. Energy experienced a 1.4% return for the week but had a negative YTD return of -7.9%. Financials also showed improvement with a 2.2% return for the week, but still had a negative YTD return of -4.3%. Healthcare had a minor decline of -0.6% for the week and a YTD return of -3.0%. Industrials had a positive week with a 1.3% return and a modest YTD return of 2.0%. Information tech showed remarkable growth with a 4.3% return for the week and an impressive YTD return of 28.0%. Materials had a slight increase of 0.7% for the week and a YTD return of 1.7%.

As of May 19, 2023, the Dow Jones Industrial Average closed at 33,426.6, showing a 0.5% return over the past week and a year-to-date (YTD) return of 1.7%. The NASDAQ Composite Index closed at 12,657.9, experiencing a notable 3.1% return for the week and an impressive YTD return of 21.4%. The S&P 500 Index closed at 4,192.0, with a 1.7% return for the week and a YTD return of 9.9%. The MSCI EAFE Index closed at 2,131.6, indicating a 0.4% return for the week and an 11.7% YTD return. In terms of market volatility, the Cboe Volatility Index closed at 16.8, showing a decline of -1.2% for the week and a substantial decrease of -22.6% YTD.

Over the course of one week, high-quality fixed-income investments experienced a slight decline, with returns of -0.2%. In terms of credit quality, medium-quality fixed-income investments also declined, yielding returns of -0.5%. Low-quality fixed-income investments, on the other hand, saw a slight increase with returns of 0.1% for the week. When considering the year-to-date (YTD) returns, high-quality fixed-income investments showed positive returns of 1.5%. Medium-quality fixed-income investments performed similarly, with YTD returns of 1.6%. Low-quality fixed-income investments had the highest YTD returns, at 3.9%. Regarding interest-rate sensitivity, fixed-income investments with high sensitivity yielded YTD returns of 2.0%, while those with moderate sensitivity had returns of 1.8%. Fixed-income investments with low interest-rate sensitivity showed YTD returns of 2.0%.

At the end of the week, the yield for the 2-year Treasury bond stood at 4.27%, which was slightly lower compared to the prior year-end yield of 4.42%, resulting in a decrease of 15 basis points (bps) year-to-date (YTD). The 10-year Treasury bond yield was 3.69% at the end of the week, down from 3.88% at the prior year-end, indicating a YTD decrease of 19 bps. The 30-year Treasury bond yield was 3.95% at the end of the week, slightly lower than the prior year-end yield of 3.97%, resulting in a YTD decrease of 2 bps. The spread between the 2-year and 10-year Treasury bond yields, known as the 2-10 spread, was -58 bps at the end of the week, which was 4 bps lower than the spread at the prior year-end. The spread between the 10-year and 30-year Treasury bond yields, known as the 10-30 spread, was 26 bps at the end of the week, reflecting an increase of 17 bps compared to the prior year-end.

Over the course of one week, the Aggregate bond sector experienced a decline of -1.4%, while bank loans showed a slight decrease of -0.1%. On the other hand, the convertible bond sector saw a positive return of 0.6% for the week, and the corporate bond sector also experienced a decline of -1.4%. High-yield bonds had a minor decline of -0.4%, while mortgage-backed securities (MBS) and municipal bonds also showed negative returns of -1.3% and -1.2% respectively. Preferred stocks within the bond sector had a decline of -0.7%, whereas Treasury Inflation-Protected Securities (TIPS) had a return of -1.0% for the week. Lastly, Treasury bonds also experienced a decline of -1.4%, and the year-to-date returns for the different bond sectors ranged from 1.5% to 8.3%.

EM Local bonds had a decline of -0.7%, EMD USD bonds experienced a decline of -1.1%, Global Agg bonds saw a decline of -1.5%, Global Agg Ex-U.S. bonds had a decline of -1.6%, and Multiverse bonds also showed a decline of -1.5%. In terms of commodities, the returns for the week were as follows: BBG Com Ind had no change with 0.0% return, Oil (WTI) experienced a positive return of 2.5%, and Gold had a decline of -1.8%. Looking at the year-to-date returns, EM Local bonds showed a positive return of 5.7%, EMD USD bonds had a modest return of 1.4%, Global Agg bonds had a return of 1.6%, Global Agg Ex-U.S. bonds had a return of 1.4%, Multiverse bonds also had a return of 1.6%. In terms of commodities, BBG Com Ind had a negative YTD return of -8.7%, Oil (WTI) had a negative YTD return of -9.1%, and Gold had a positive YTD return of 8.6%.

In terms of one-week performance, emerging market currencies (EM FX) experienced a decline of -0.4%, while the Australian dollar (AUD) showed a marginal increase of 0.1%. The Canadian dollar (CAD) had a modest increase of 0.2%, while the Swiss franc (CHF) saw a decline of -0.6%. The euro (EUR) had a decrease of -0.7%, and the British pound (GBP) also declined slightly by -0.3%. The Japanese yen (JPY) showed a significant decline of -2.3% against the USD during the week. Looking at the YTD performance, EM FX currencies had a positive return of 3.5%, while the Australian dollar (AUD) experienced a negative return of -1.8%. The Canadian dollar (CAD) had a modest positive return of 0.3%, and the Swiss franc (CHF) showed a positive return of 2.6%. The euro (EUR) had a modest positive return of 1.1%, and the British pound (GBP) showed a positive return of 3.4%. However, the Japanese yen (JPY) had a negative YTD return of -4.7% against the USD.

The BBG Commodity Index remains stable with no change, indicating a 0.0% return for the week. However, on a YTD basis, it experienced a negative return of -8.7%. Oil, specifically WTI (West Texas Intermediate), shows a positive performance with a 2.5% increase over the week. However, when considering the YTD return, it has a negative return of -9.1%. On the other hand, gold displayed a decline of -1.8% for the week, suggesting a decrease in its value. Nevertheless, when looking at the YTD performance, gold exhibited a positive return of 8.6%.

The Eurozone displayes an annualized GDP growth rate of 1.3% and a relatively high inflation rate of 7.0%. The unemployment rate in the Eurozone is 6.5%. China experienced a GDP growth rate of 4.5% and a low inflation rate of 0.1%. The unemployment rate in China is at 5.2%, while the 10-year government bond yield is 2.72%, and the sovereign credit rating is A+. Germany, known for its strong economy, has a slight decline in GDP growth of -0.1% and a relatively high inflation rate of 7.2%. The unemployment rate in Germany is 5.6%, and it has a 10-year government bond yield of 2.42% with a top-notch sovereign credit rating of AAA. Japan has a GDP growth rate of 1.3%, an inflation rate of 3.5%, and an unemployment rate of 2.8%. The 10-year government bond yield in Japan is 0.40%, and its sovereign credit rating is A+. Lastly, the United Kingdom (U.K.) has a modest GDP growth rate of 0.2% and a high inflation rate of 10.1%. The unemployment rate in the U.K. is 3.9%, and it has a 10-year government bond yield of 4.00% with a sovereign credit rating of AA.