Performance Source: Koyfin.com Price Return
U.S. Versus International
The S&P 500 Index, an index of large U.S. companies, posted a price return of -4.6% for the first quarter of 2026. Large U.S. stocks underperformed international for the quarter as measured by the iShares MSCI ACWI ex-US Index, a representation of international stocks outside the U.S. The International ETF return for the First Quarter of 2026 was 2.0%.
The S&P 500 Index continued to underperform international stocks for the First Quarter of 2026, with price return up 2.0% versus -4.6%. The value of the U.S. Dollar versus foreign currencies strengthened during the quarter. This is typically good for U.S. stocks versus international. However, international stocks continued to outperform due to lower valuations and perceived stability. Policy uncertainty in the U.S. is also driving a lot of the differential.
Brazil, Colombia and Mexico stocks rose over 10% for the quarter. These countries all benefit from higher oil prices.
U.S. Sectors
Top performing U.S. S&P 500 sectors as reported by Koyfin for the First Quarter of 2026 include Energy (37.9%), Materials (10.7%) and Utilities (8.3%). Laggards for the First Quarter include Financials (-9.4%), Consumer Discretionary (-8.6%) and Technology (-7.6%).
Energy stocks achieved strong performance as the Iran conflict escalated oil prices. Materials and Utility stocks also rallied as the possibility of ongoing conflict increased. Energy, Materials and Utility stocks all could benefit from ongoing use of defense equipment, manufacturing and restricted oil supply.
Financial, Consumer Discretionary and Technology stocks suffered in the quarter as fears over tighter economic conditions, an ongoing government shutdown and uncertainty increased. Higher oil prices could increase the potential for inflation, hampering the consumers ability to pay debts and purchase goods.
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