350 / 772
12
U.S. large caps returned more than
2%
in July amid
mixed economic data. The Greek bailout helped
power markets and reduce uncertainty over Greece’s
possible exit from the eurozone. Also fueling U.S.
equities were mostly positive housing-sector reports,
including decent pending-home sales and existing-
home sales data. U.S. crude oil prices plunged by
20%
in July, falling from just over
$60
a barrel to
$47
at month-end. U.S. bond prices were up in July.
The U.S.’ top-performing equity sector in July was
the utilities sector, which rallied with the decline in
bond yields. Also performing well was the consumer
staples sector, which rallied about
5%
on particular
strength from
Walgreens Boots Alliance
WBA
,
CVS Health
CVS
, and
Costco
COST
. The weakest-
performing U.S. equity sector was the energy sector,
which slid more than
5%
from commodity-
price declines.
Stocks rose slightly in developed foreign markets but
again were hammered in emerging markets. The
MSCI
Emerging Markets Index fell more than
7%
on
top of meaningful losses in May and June. Brazilian
stocks were hard-hit amid forecasts that the country’s
economy is headed into a recession and fears of a
credit downgrade. Investors also continued to punish
Petrobras
PBR
in the wake of high debt levels,
corruption scandals, and government intervention in
its investment decisions.
DFA Emerging Markets
Value
DFEVX
, a broad-based emerging-markets fund
that has a Morningstar Analyst Rating of Silver, fell
more than
8%
in July.
The U.S. bond market rallied in July. Short-term yields
rose, but longer-term yields slid meaningfully
amid risk-off sentiment driven by declining commodity
prices and weakness in China.
K
Contact Robert at
robert.goldsborough@morningstar.comTotal Return
%
Through
A N N U A L I Z E D
07-31-15
1Mo YTD 3Yr
5Yr
10Yr
Benchmark Performance
U.S. Stocks Shine While Emerging
Markets Tumble
Market Overview
|
Robert Goldsborough
Large Growth
2.9 7.1 18.4 16.1 8.1
Large Blend
1.5 2.7 16.7 14.7 7.0
Large Value
0.7 0.8 15.7 13.7 6.3
Mid-Cap Growth
1.0 7.0 18.3 15.6 8.4
Mid-Cap Blend
-0.1 2.4 17.4 14.4 7.4
Mid-Cap Value
-0.4 1.2 17.6 14.4 7.4
Small Growth
0.3 8.1 18.6 16.5 8.4
Small Blend
-1.6 1.8 16.3 14.1 7.1
Small Value
-2.4 -0.8 15.4 12.8 6.7
Aggressive Allocation
0.6 2.5 11.8 10.5 5.7
Conservative Allocation
0.3 0.9 5.5 6.3 4.7
Moderate Allocation
0.7 1.9 9.9 9.5 5.8
Communications
0.7 5.0 11.4 10.9 5.2
Financial
0.8 4.5 18.2 11.6 2.8
Global Real Estate
2.3 1.2 8.8 9.5 4.3
Health
3.3 19.5 32.7 26.8 13.6
Natural Resources
-7.6 -9.9 -2.6 0.5 2.6
Equity Precious Metals
-18.5 -22.1 -27.1 -19.2 -1.1
Real Estate
5.1 -0.4 9.4 12.7 6.2
Technology
1.0 4.8 18.6 14.9 9.0
Utilities
2.6 -4.4 9.9 11.3 7.3
S&P 500
2.2 3.4 17.6 16.2 7.7
S&P MidCap 400
0.1 4.3 18.7 16.3 9.2
Russell 2000
-1.1 3.6 18.0 15.3 7.6
Diversified Pacific/Asia
-2.3 6.8 11.1 7.6 6.3
Diversified Emerging Mkts
-5.4 -3.7 1.6 0.6 6.0
Europe Stock
2.5 9.1 14.1 9.2 6.1
Foreign Large Blend
0.7 6.7 10.8 7.1 4.8
Foreign Large Growth
0.8 7.5 11.2 8.2 5.7
Foreign Large Value
0.3 5.9 10.6 6.6 3.9
Foreign Small/Mid Growth
0.5 9.6 14.0 11.0 7.6
Foreign Small/Mid Value
-1.2 7.1 13.4 8.0 5.4
World Stock
1.0 4.5 13.6 10.9 6.3
MSCI World
1.8 4.5 14.5 11.7 6.2
MSCI Emerging Markets
-6.3 -4.8 0.2 -0.2 5.7
MSCI EAFE
2.0 8.3 12.3 7.8 4.9
MSCI Europe
3.1 7.1 13.1 8.3 5.0
MSCI Latin America
-8.4 -15.5 -13.5 -10.8 3.0
MSCI Pacific
-0.1 8.8 10.8 7.5 5.2
High Yield Bond
-0.5 1.9 5.3 6.8 6.3
Inflation-Protected Bond
0.0 0.1 -1.7 2.4 3.4
Intermediate-Term Bond
0.5 0.5 1.9 3.5 4.3
Muni National Long
0.6 0.5 2.7 4.6 4.1
World Bond
0.0 -2.3 0.2 2.2 4.0
BarCap US Agg Bond TR USD 0.9 0.5 1.5 3.1 4.4
BofAML US HY Master II TR -0.6 1.9 5.9 7.5 7.5
BarCap Municipal TR USD
0.7 0.8 2.8 4.4 4.6