• / Free eNewsletters & Magazine
  • / My Account
Home>Research & Insights>Investment Insights>Morningstar Market Commentary: First Quarter 2009

Related Content

  1. Videos
  2. Articles
  1. Bond Investing in a Teeter-Totter Economy

    Following a first quarter that saw riskier assets outperform, and a second quarter marked by a flight to Treasuries, investors would do well to review the suitability of their current portfolio allocations, says Morningstar's director of fixed-income research.

  2. Steering Your Bond Portfolio in 2012

    Morningstar's Eric Jacobson comments on 2011's long -term Treasury rally, fund managers' current perspectives on government debt, PIMCO Total Return's current positioning, remaining opportunities in munis, and top considerations for fixed-income investors today.

  3. Take Care With Core Bond Exposure

    Core bond funds have cut their interest-rate sensitivity relative to their benchmark, and Morningstar's Eric Jacobson says the dramatic changes in correlations have skewed common metrics, such as beta.

  4. Stock Investors Take Chips Off the Table in October

    Despite equity markets having one of the best Octobers in recent history, U.S. stock funds continue to see robust outflows that could eclipse what we saw in 2008, says Morningstar's Kevin McDevitt.

Morningstar Market Commentary: First Quarter 2009

The markets' hot streak has leveled off.

Sanjay Arya, 07/14/2009

The second quarter began in the same manner as the first quarter ended--with stocks soaring--but the torrid run appears to have stalled since late May, and the markets have leveled off for the rest of the quarter. Altogether, the Morningstar US Market Index added 17% for the quarter and is up 5% for the year.

In our quarter-end review, Travis Pascavis, CFA, director equity indexes, provides insight into the market's performance.

Click here to access the Morningstar Market Commentary.

A recap of the key observations:

* Small beats large. Small stocks shrugged off the economic doldrums and turned in a stellar return over the quarter. The Morningstar Small Cap Index was up 24% for the quarter, while the Morningstar Large Cap Index was up 15%.
* Corporate bonds beat Treasuries. Unlike in 2008, corporate bonds are the quarter's darlings. The Morningstar Treasury Index dropped 3% for the quarter, and the Morningstar Corporate Bond Index gained 9%, which is one for the record books.
* Commodities rise. Commodity investors anticipate an increase in global demand, spurring a rebound in commodities. The Morningstar Long-Only Index rose 14% in the quarter.

To access the report, please click on this link: Morningstar Market Commentary.

Sanjay Arya is director of Morningstar Indexes.

blog comments powered by Disqus
Upcoming Events

©2014 Morningstar Advisor. All right reserved.