{"id":6506,"date":"2020-04-03T13:16:22","date_gmt":"2020-04-03T18:16:22","guid":{"rendered":"https:\/\/schenkelberg.investments\/?p=6506"},"modified":"2022-01-23T14:58:25","modified_gmt":"2022-01-23T20:58:25","slug":"market-update-first-quarter-2020","status":"publish","type":"post","link":"https:\/\/schenkelberg.investments\/?p=6506","title":{"rendered":"Market Update &#8211; First Quarter 2020"},"content":{"rendered":"\n<p class=\"has-text-color has-medium-font-size has-very-dark-gray-color\"><strong>U.S. Versus <a>International<\/a><\/strong><\/p>\n\n\n\n<p class=\"has-text-color has-very-dark-gray-color\"><a>The S&amp;P 500, an index of large U.S. companies, posted a total return\nof -19.9% for the First Quarter of 2020. U.S. stocks marginally outperformed\ninternational for the quarter as measured by the iShares MSCI EAFE ETF, a\nrepresentation of international stocks outside the U.S. EAFE. Total return for\nthe First Quarter of 2020 was -23.0%.<\/a><\/p>\n\n\n\n<p>Stock markets continue to reel\nfrom the impact of the coronavirus pandemic. Risks were high coming into 2020\nas stock markets extended the longest bull run in history. However, economic\nactivity remained strong and there was no end in sight for consumer spending.\nUntil the coronavirus hit, no one could have predicted a pandemic of this\nglobal breadth and magnitude hitting in the first quarter. Uncertainty\nregarding the actual economic impact continues to be high and will likely weigh\non markets during April. <\/p>\n\n\n\n<p class=\"has-text-color has-very-dark-gray-color\"><a>Despite China being the epicenter of the coronavirus\noutbreak ,the Shanghai Composite Index was the best performing international\nindex in local currency terms, falling 9.8% or approximately half of the\nS&amp;P 500 decline. The Chinese stock index posted the largest number of\nInitial Public Offerings (IPOs) of any global index in the first quarter. <em>The Financial Times<\/em> reported items that contributed\nto higher IPOs <\/a>included the prospect\nof pent-up demand in the Chinese market, along with strong policy support from\nBeijing. The prospect of improving health conditions prior to the end of the\nquarter also helped alleviate uncertainty regarding the length of &nbsp;the impact from the virus.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">&nbsp;<\/h2>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>U.S.\nSectors<\/strong><\/h2>\n\n\n\n<p class=\"has-text-color has-very-dark-gray-color\"><a>Top performing U.S. sectors as reported by Koyfin.com investment\nperformance software for the first quarter of 2020 by total return included\nTechnology (-11.9%), Health Care (-12.6%) and utilities (-14.0%). Laggards for\nthe first quarter include Energy (-50.5%), Financials (-31.8%) and Industrials\n(-25.6%). <\/a><\/p>\n\n\n\n<p>Investors sought out companies\nthat could hold up better during this trying time. Many technology companies\nare benefiting from the surge in remote workers, as well as students learning\nat home. The health care industry is also experiencing a surge in demand from\nthe crisis. Time will tell who the true winners and losers are during this\neconomic shift. <\/p>\n\n\n\n<p>Energy companies were faced\nwith a double whammy. Social distancing has essentially shutdown travel, which\nis a large consumer of energy resources. Additionally, a fight for market share\nensued between Russia and Saudi Arabia. The Saudi government refused to go\nalong with OPEC countries to lower supply. They are trying to shore up oil\nrevenue by capturing additional market share. Oil prices for West Texas\nIntermediate Crude Oil (WTI) fell to almost $20 per barrel, a price not seen\nfor over 20 years. WTI dropped below $20 per barrel in 1998, when OPEC\ncountries also couldn\u2019t agree on the proper amount of oil supplies. Prior to\n1998 we hadn\u2019t seen WTI below $20 since the 1940s! Sharp drops in oil prices\nhave historically been very short lived, with a sharp and fast recovery.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>U.S. Versus International The S&amp;P 500, an index of large U.S. companies, posted a total return of -19.9% for the First Quarter of 2020. U.S. stocks marginally outperformed international for the quarter as measured by the iShares MSCI EAFE ETF, a representation of international stocks outside the U.S. EAFE. Total return for the First Quarter [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[119,123,1],"tags":[],"class_list":["post-6506","post","type-post","status-publish","format-standard","hentry","category-market-commentary","category-market-performance","category-uncategorized"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p7kXxe-1GW","jetpack-related-posts":[{"id":6588,"url":"https:\/\/schenkelberg.investments\/?p=6588","url_meta":{"origin":6506,"position":0},"title":"Market Update &#8211; 4th Quarter 2021","author":"J.J. Schenkelberg, CFA","date":"January 12, 2022","format":false,"excerpt":"U.S. Versus International The S&P 500, an index of large U.S. companies, posted a total return of 10.7% for the Fourth Quarter of 2021. S&P 500 performance was driven by strength in select stocks with large weights in the index. U.S. stocks significantly outperformed international again for the quarter as\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2022\/01\/image.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":6623,"url":"https:\/\/schenkelberg.investments\/?p=6623","url_meta":{"origin":6506,"position":1},"title":"Market Performance Update. First Quarter 2022","author":"J.J. Schenkelberg, CFA","date":"April 12, 2022","format":false,"excerpt":"Performance Source: Koyfin U.S. Versus International The S&P 500, an index of large U.S. companies, posted a total return of -5.0% for the First Quarter of 2022. U.S. stocks marginally outperformed international again for the quarter as measured by the iShares MSCI EAFE ETF, a representation of international stocks outside\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2022\/04\/image-5.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":6558,"url":"https:\/\/schenkelberg.investments\/?p=6558","url_meta":{"origin":6506,"position":2},"title":"Market Update &#8211; Second Quarter 2021","author":"J.J. Schenkelberg, CFA","date":"July 6, 2021","format":false,"excerpt":"U.S. Versus International The S&P 500, an index of large U.S. companies, posted a total return of 8.2% for the Second Quarter of 2021. This performance almost matched the first quarter for a year-to-date return of 14.4%. U.S. stocks outperformed international again for the quarter as measured by the iShares\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2021\/07\/image.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":6534,"url":"https:\/\/schenkelberg.investments\/?p=6534","url_meta":{"origin":6506,"position":3},"title":"Market Update &#8211; Third Quarter 2020","author":"J.J. Schenkelberg, CFA","date":"October 12, 2020","format":false,"excerpt":"U.S. Versus International The S&P 500, an index of large U.S. companies, posted a total return of 8.9% for the Third Quarter of 2020, bringing performance to 5.6% year-to-date in 2020. U.S. stocks outperformed international for the quarter as measured by the iShares MSCI EAFE ETF, a representation of international\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6678,"url":"https:\/\/schenkelberg.investments\/?p=6678","url_meta":{"origin":6506,"position":4},"title":"Market Update. 4th Quarter 2022","author":"J.J. Schenkelberg, CFA","date":"January 10, 2023","format":false,"excerpt":"IndexFourth Quarter 2022Year\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 To-Date 2022S&P 5007.1%-19.5%Dow Jones Industrial Average15.3%-8.8%Russell 20005.8%-21.6%\u00a0\u00a0MSCI EAFE (International Index)17.7%-14.4%\u00a0\u00a0Barclays Aggregate Bond1.6%-13.0% Performance Source: Koyfin U.S. Versus International The S&P 500, an index of large U.S. companies, posted a total return of 7.1% for the Fourth Quarter of 2022. U.S. stocks lagged international for the quarter as\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6528,"url":"https:\/\/schenkelberg.investments\/?p=6528","url_meta":{"origin":6506,"position":5},"title":"U.S. Stocks Dominate","author":"J.J. Schenkelberg, CFA","date":"October 12, 2020","format":false,"excerpt":"Last quarter we discussed how the largest stocks in the Standard & Poor\u2019s 500 Index are dominating stock market returns, helping drive S&P 500 returns versus stocks in the rest of the index and other major indices. Apple and Amazon continued to outperform in the third quarter with total returns\u2026","rel":"","context":"In &quot;Market Commentary&quot;","block_context":{"text":"Market Commentary","link":"https:\/\/schenkelberg.investments\/?cat=119"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=1050%2C600&ssl=1 3x, https:\/\/i0.wp.com\/schenkelberg.investments\/wp-content\/uploads\/2020\/10\/International-v.-u.s.-093020.jpg?resize=1400%2C800&ssl=1 4x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/posts\/6506","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6506"}],"version-history":[{"count":2,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/posts\/6506\/revisions"}],"predecessor-version":[{"id":6508,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=\/wp\/v2\/posts\/6506\/revisions\/6508"}],"wp:attachment":[{"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6506"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6506"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/schenkelberg.investments\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6506"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}