After a strong global economic recovery in the first half of the year, increasing concerns over supply chain complications, continuing inflation and the Delta variant led to downgraded expectations for the pace of growth for the remainder of the year.
The September quarter was a down period for the U.S. equity market as the number of headwinds and concerns expanded, causing economic growth to slow and equity multiples to contract slightly. While the largest capitalization stocks outperformed, helping the S&P 500 to eke out a tiny gain of .58%, the rest of the market struggled as size was an important driver of returns.
The September quarter was a down period for the U.S. equity market as the number of headwinds and concerns expanded, causing economic growth to slow and equity multiples to contract slightly. While the largest capitalization stocks outperformed, helping the S&P 500 to eke out a tiny gain of .58%, the rest of the market struggled as size was an important driver of returns.