Our latest Market Perspectives provide timely economic and financial expertise on emerging trends and issues that are top of mind with our clients.
- Domestic equities extended their positive streak in November, with mid-caps leading the way, followed by large-caps and small-caps. Year to date, the S&P 500 is up over 20%.
- International stocks also delivered positive returns last month, adding to their substantial gains this year; both developed market and emerging market equities are outperforming their domestic counterparts year to date in U.S. dollar terms.
- Fixed income performance was mixed in November, with the more risk-correlated global credit achieving a small gain, while other bonds lost ground as the yield curve flattened.
- The latest estimate for U.S. GDP growth in the third quarter suggests that the economy expanded slightly faster than previously reported, growing at a pace of 3.3% (revised upward from the initial estimate of 3.0%).
- The Fed continued its “quantitative tightening” initiative in December, and it also raised interest rates by another 25 basis points to a range of 1.25% to 1.5%.