While February began with eyes on Fed Chairman Powell’s hawkish stance, inflation and a focus on the job market, the resounding theme was Russia’s invasion of Ukraine during the last week of the month. As this evolved from a low likelihood event to a distressing reality, markets adopted a risk-off stance. As we outlined in our 2022 Outlook – Navigating Moderation, volatility would be the recurring theme for the year. That said, we certainly did not foresee armed conflict as a driving factor.
2020 Mid-Year Update: Navigating Volatility and a COVID-19 Hangover
In our mid-year update, we caution investors to remain on guard. Although we are hard-pressed to imagine that the environment confronting investors the last several months will be replicated any time soon, we do expect market conditions will remain tenuous until a more comprehensive resolution to the health crisis is devised.