General Market Commentary as of September 30, 2024
The third quarter of 2024 showed all US major indices posting positive returns. The S&P 500 was up 5.53%, the
Dow Jones Industrial Average gained 8.21%, and the Nasdaq Composite increased 2.57%. The quarter included
a few market lulls, one in early August and another in early September where US major indices retreated. During
both instances, markets fully rebounded and ultimately finished the quarter strong.
Small caps outperformed large caps. Value outperformed growth within the large caps space and
underperformed within small caps. Developed markets outside the US and Emerging markets outperformed US
Equity markets.
In the fixed income space, yield curves remain inverted, but are getting closer to normalization with interest
rates generally decreasing across global developed markets in the quarter.
On September 18th, after much anticipation, the Federal Funds Rate was reduced by 50bps to a target range of
4.75-5.00%. This marks the first rate cut since March of 2020. The Fed indicated plans to continue their rate
cutting campaign through the balance of 2024 and into 2025 with a long-run goal of 3.00%.
As we look ahead to Q4, the US elections, and elections globally, the intermittent volatility seen in Q3 should
serve as a valuable reminder that sticking to a long-term investment plan is crucial.
Market Recap
| Tot Return | 3-MO* | 12-MO* | 3-Year* | 5-Year* | Closing Value |
|---|---|---|---|---|---|
| S&P 500 | 5.53% | 34.38% | 10.19% | 14.12% | 5,762.48 |
| Dow Jones Industrial Average | 8.21% | 26.33% | 7.74% | 9.48% | 42,330.15 |
| NASDAQ Composite | 2.57% | 37.60% | 7.98% | 17.86% | 18,189.17 |
Source: Morningstar. The S&P 500, Dow Jones Industrial Average, and NASDAQ Composite are unmanaged indexes. It is not possible to invest in an index. Past performance is no guarantee of future results. * Price only. Does not include dividends.
All overviews and commentary are intended to be general in nature and for current interest, educational purposes and factual reference only and are subject to change based on market and other conditions.
