U.S. stock values dropped nearly 6% to begin the new year, with large blue-chip stocks down around 5% and small companies off nearly 10% for the month of January. Technology stocks, as measured by the Nasdaq Composite, declined 9% for their worst January performance since 2008. Domestic value stocks, as well as foreign equities, saw more modest declines of just over 3% for the month.
Even after abolishing its one-child policy in 2016, the number of births in China continues to decline. China’s fertility rate, calculated as the number of children a woman has over her lifetime, now stands at 1.3 … well below the 2.1 rate considered to be the replacement level. In fact, China’s fertility rate is now below Japan’s rate of 1.34.
Equity markets ended 2021 on a high note, with global stocks advancing more than 4% in December alone. U.S. stocks delivered yet another blockbuster year of performance, while foreign stocks saw solid, if somewhat less impressive, returns. The year will be remembered for heavy speculation by investors in meme stocks, special-purpose acquisition companies (SPACs), and cryptocurrencies.
Global stock markets returned just over 5% in October, with U.S. and foreign equities returning 6.8% and 2.4%, respectively. For U.S. stocks, it was the best monthly performance this year--and 2021 is shaping up to be quite a year for investors, with domestic stocks now sporting returns of nearly 23% year-to-date.
Global equity markets declined in November, with domestic and foreign stocks down 1.5% and 4.5%, respectively. For the first eleven months of the year, global stocks have returned about 14% … with U.S. stocks alone providing returns in excess of 20% year-to-date..
Japan is the world’s oldest nation, with more than 29% of the population age 65 or older. The comparative statistic in the U.S. and Europe is 17% and 21%, respectively.
Global markets ended September in negative territory, with stocks and bonds off by 4.5% and 1.8%, respectively. U.S. blue-chips stocks, represented by the S&P 500 Index, broke a streak of 7-straight monthly gains, but still managed to eke out its sixth-consecutive quarterly advance. The popular index is showcasing a return of nearly 16% for the first nine months of 2021.
Strong second quarter earnings helped stocks to yet another solid month of performance in August, as domestic and foreign equity markets advanced 2.85% and 1.90%, respectively. The S&P 500 index has had seven straight months of gains, reaching new highs on more than 50 days … and all this without at least a 5% decline along the way..
Domestic stocks ended July with modest gains, as the S&P 500 Index registered its fifth straight monthly advance. Foreign markets were slightly negative, hurt mostly by sizable losses in Chinese equities. Overall, a globally diversified portfolio finished the month in positive territory … but only by a whisker.
Global stock markets advanced yet again in June, finishing up a very profitable first half of 2021 for equity investors. Domestic stocks led the way with returns in excess of 15% over the past six months, while foreign stocks delivered high single-digit returns. After reaching pandemic lows in late March of 2020, the S&P 500 Index has advanced more than 50% over the past five quarters.
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