Weekly Market Bullets
for the week ending 4/10/2020
  • US Equity Markets rallied sharply in a holiday-shortened week last week, as hopes increased that the peak of the coronavirus outbreak is imminent and the Federal Reserve launched more stimulus measures. As a result, the S&P 500 rose 12.1% for the week and is now up over 27% from the lows hit in late March. For the year, the S&P 500 is still down 13.7%. The Nasdaq increased 10.6% for the week to reduce its losses for the year to 9.1%, while the Russell 2000 (small-cap stocks) posted its best week ever, up 18.5%, though it remains down 25.3% for the year.

  • Global equity rose as well last week, though gains were more subdued than US markets as oil prices once again retreated. Developed Markets increased 8.2% for the week, as European shares outpaced Asian equities. For the year, Developed Markets are now down 21.3%. Emerging Markets under-performed last week due in part to a 21.5% decline in oil prices, but still rose 6.7% for the week. For the year, Emerging Markets are down 20.4%.

  • The Federal Reserve further calmed fixed income markets last week with the announcement of another $2.3 trillion in emergency lending capacity to businesses and municipalities including a willingness to purchase high yield bonds. This caused yields on corporate and muni bonds to decline for the week. The yield on the US 10-Year Treasury rose to 0.73% from 0.60% the prior week.
Of Interest to Us
  • Global central banks and governments continue to rapidly expand their economic stimulus efforts. Based on data that we have seen, it appears that announced global stimulus efforts approximate roughly 17% of global economic activity. While near-term economic data will likely be disastrous, this provides hope for an economic pick-up once we get through the current crisis.
Market Data
for the week ending 4/10/2020
If you have questions about the markets or would like to talk about your investments, please contact me at  bfontana@invtrust.com  or via phone at 704.940.3544.
Investors Trust Company helps its clients make sound financial decisions by providing strategic advice and asset management services with a high level of personalized attention. If we may help you or your clients with their investment management needs, please contact one of our Relationship Team members at  trust@invtrust.com .