494 / 708
12
U.S.
stocks fell across the board in October as the third-
quarter earnings season kicked off. The S
&
P
500
fell
1
.
8%
, and the Russell
2000
fell
4
.
8%
for the month.
U.S.
gross domestic product rose
2
.
9%
in the third
quarter, the fastest growth rate in two years, despite
slowing growth in consumer spending. The data
raises the likelihood that the Fed will raise rates this year.
The anticipated rate increase led dividend-heavy real
estate to be one of the worst-performing sectors in
the Russell
3000
Index in October, losing
5
.
5%
.
Boston
Properties
BXP
,
Simon Property Group
SPG
, and
Tanger Factory Outlet Centers
SKT
all fell more than
9%
.
T. Rowe Price Real Estate
TRREX
and
Van-
guard REIT Index
VGSLX
fell more than
5%
. Commu-
nication services stocks fell
4%
last month, led lower
by
Charter Communications
CHTR
and
InterDigital
IDCC
. Healthcare stocks also posted poor results in
October, dropping
7%
. Several biotech stocks such as
Puma Biotechnology
PBYI
,
Alnylam Pharmaceuticals
ALNY
, and
Sarepta Therapeutics
SRPT
fell more than
35%
during the month.
Financials was one of the only sectors to end October in
positive territory, rising
2%
. Financials were lifted
by banks such as
KeyCorp
KEY
,
SVB Financial
SIVB
,
and
Comerica
CMA
—all rose double-digits. The
technology sector, despite dropping
0
.
6%
, was a rela-
tively solid performer in October.
Alphabet
GOOG
—
Google’s parent company—and
Microsoft
MSFT
rose
5%
after releasing quarterly earnings results that
handily beat analyst expectations.
Developed international markets also posted losses
in October: The
MSCI
EAFE
Index fell
2
.
1%
. Austrian,
Italian, and Spanish stocks rose more than
3%
; Kiwi,
Israeli, and British stocks fell more than
5%
. Emerging-
markets stocks posted small gains of
0
.
2%
for the
month, as Brazilian, Egyptian, and Chilean stocks rose
more than
7%
.
K
Total Return
%
Through
A N N U A L I Z E D
11-30-16
1Mo YTD 3Yr
5Yr
10Yr
Benchmark Performance
Stocks Fall in October
Market Overview
|
Andrew Daniels
Large Growth
-2.5 0.9 7.0 12.0 7.0
Large Blend
-1.9 4.0 6.6 11.9 5.8
Large Value
-1.5 6.2 5.8 11.3 4.9
Mid-Cap Growth
-3.9 1.0 4.1 10.2 6.6
Mid-Cap Blend
-2.6 5.1 4.6 11.0 6.1
Mid-Cap Value
-2.3 7.8 5.2 11.7 6.2
Small Growth
-5.2 2.0 2.6 10.2 6.5
Small Blend
-3.8 5.9 3.1 10.5 5.7
Small Value
-3.2 8.7 3.5 10.8 5.6
Allocation—70% to 85% Equity -1.8 4.7 3.8 7.9 4.3
Allocation—30% to 50% Equity -1.1 5.6 3.0 5.3 4.2
Allocation—50% to 70% Equity -1.5 4.8 3.9 7.4 4.8
Communications
-2.0 7.8 4.3 9.6 4.1
Financial
1.1 2.7 4.3 11.8 1.4
Global Real Estate
-5.3 2.4 3.5 7.9 1.4
Health
-8.9 -13.4 8.4 16.6 9.8
Natural Resources
-2.7 17.1 -6.8 -2.1 0.1
Equity Precious Metals
-7.5 78.2 2.0 -13.0 -0.9
Real Estate
-5.0 4.1 9.5 10.4 4.3
Technology
-1.8 8.8 11.7 13.2 8.8
Utilities
-0.8 13.8 6.5 9.1 5.9
S&P 500
-1.8 5.9 8.8 13.5 6.7
S&P MidCap 400
-2.7 9.4 7.1 12.9 8.4
Russell 2000
-4.6 6.4 4.2 11.6 6.0
Diversified Pacific/Asia
-1.8 7.1 2.8 7.0 3.8
Diversified Emerging Mkts
-0.5 13.8 -1.9 1.3 2.9
Europe Stock
-3.7 -4.7 -2.1 5.6 1.7
Foreign Large Blend
-2.2 0.7 -1.3 4.7 1.1
Foreign Large Growth
-3.4 0.1 0.0 5.6 2.4
Foreign Large Value
-1.3 1.6 -2.3 4.1 0.2
Foreign Small/Mid Growth
-3.6 -0.1 1.5 8.1 4.3
Foreign Small/Mid Value
-2.2 3.9 0.3 6.7 2.5
World Stock
-2.4 3.3 2.7 8.1 4.0
MSCI World
-1.9 3.5 3.8 9.0 3.9
MSCI Emerging Markets
-0.8 16.3 -2.4 0.2 2.7
MSCI EAFE
-2.2 0.5 -1.4 5.2 1.1
MSCI Europe
-3.3 -3.3 -3.0 4.3 0.7
MSCI Latin America
9.7 42.8 -8.9 -7.8 -0.2
MSCI Pacific
0.2 5.4 1.8 6.2 2.2
High Yield Bond
0.2 11.7 3.1 5.9 6.0
Inflation-Protected Bond
-0.2 6.1 1.1 0.8 3.4
Intermediate-Term Bond
-0.6 5.3 3.2 3.2 4.4
Muni National Long
-1.0 3.1 5.4 4.7 4.0
World Bond
-1.5 6.5 1.1 1.7 4.1
BarCap US Agg Bond TR USD -0.8 4.8 3.5 2.8 4.5
BofAML US HY Master II TR 0.3 15.7 4.5 7.1 7.5
BarCap Municipal TR USD
-1.0 2.9 4.9 4.3 4.6