What can we help you find?
Back to the blog

Quarterly Market Report

First Quarter 2016 – “Deja Vu”

4.8.16The U.S. stock market finished the first quarter almost where it began, with a good bit of drama in between. The S&P 500 endured its worst ever start to a new year with the widely watched index falling to a 22-month low by February 11th. Fears surrounding slower growth in China, the impact of higher interest rates from the Federal Reserve, and fallout from lower oil prices were key contributors to the sell-off. The swiftness and depth of the sell-off spooked investors and policymakers around the world. The Federal Reserved backed-off its rate-hike rhetoric and signaled a slower pace of tightening this year. Meanwhile, authorities in Europe and Japan lowered short-term interest rates into negative territory, seeking to spur bank lending and drive currencies lower with the hopes of triggering better growth conditions. In China, authorities used a combination of fiscal spending, currency weakness, and lower bank lending rates to ensure economic growth reaches its 6.5% target. Policy actions pushed global interest rates to even lower levels.

Investment Advisory Team

Questions about this article?

Hefren.com is sponsored by Hefren-Tillotson, Meticulous Wealth Management Since 1948. Hefren-Tillotson is headquartered in Pittsburgh, Pennslvania and has locations in Downtown Pittsburgh, Butler, Greensburg, Wexford and Southpointe in the South Hills. Our financial advisors and investment advisors offer full service, personalized financial planning and retirement planning. Our MASTERPLAN approach can help you plan for the future with a focus on asset management and portfolio management. If you’re looking for time-tested financial advice in the Pittsburgh area, Hefren-Tillotson financial planners are here to help. Securities offered by Hefren-Tillotson, Inc., member of FINRA and SIPC.