Private Wealth Management Quarterly Update
U.S. financial markets enjoyed a mild, pleasant rally for most of the second quarter, leaving behind the anxieties of the first. A better outlook for the U.S. economy and the Federal Reserve’s shift to a benign attitude triggered several positive impacts: the U.S. dollar eased, the S&P 500 approached its record high and Treasury bond yields slowed their descent. Late in the quarter, financial markets were shaken when the citizens of the U.K. surprisingly voted to leave the European Union (EU).
“You can’t build a wall around a village. The sun and the wind will always find their way in.”
- Igor Goldkind, American author and poet
Global investors quickly turned away from risk, sending equity markets sharply lower and prices for safe assets higher. By quarter end, some of the referendum-induced anxiety had calmed such that the S&P 500 recovered and earned a modest gain for the quarter. High quality fixed income also had positive returns since prices for Treasury bonds continued to rise (taking yields lower).
Click on the following link to view the full version of the Quarterly Update for Second Quarter, 2016.