Stocks pick up where they left off in 2005, make good gains.
In the first quarter of 2006, the U.S. stock market picked up where it left off in the fourth quarter of 2005. In an all too familiar pattern, small stocks continued to lead the way as all nine Morningstar style indexes ended the quarter on a positive note. The Morningstar US Market Index--which tracks performance of the broad U.S. equity market--gained 5.2% for the first quarter.
In our quarterly review, Morningstar fund analyst John Courmarianos provides insights into the market's performance:
To recap some of the key trends: