US Stocks led the way through February with several indices crossing all-time highs throughout the month. Corporate earnings season has impressed so far; the majority of larger companies have reported 4Q earnings that beat analysts’ expectations, propelling stocks upward.
Inflation remained stubbornly above analysts’ expectations and the Fed’s 2% target, all but ending the proposition of a rate cut to occur in March. Higher than expected inflation, and the likely delay in rate cuts drove yields up and fixed income down over the month.
International equities made a strong rebound after a poor start to the year, driven mostly by Japan and China with emerging markets having a stellar month and posting solid gains.
| Index Performance | February | Year to Date | Trailing 12 Months |
| US Stocks (Russell 3000) | 5.41% | 6.58% | 28.60% |
| Foreign Stocks (FTSE AW ex US) | 2.51% | 1.49% | 13.27% |
| US Bond Mkt. (BBgBarc Int. Gov/Cred) | -0.99% | -0.79% | 4.38% |
| Cash (ICE BofA ML 3-Mo T-Bill) | 0.41% | 0.84% | 5.22% |