After the S&P 500’s worst first quarter on record, the stock market made history with an unprecedented recovery, taking many investors and prognosticators by surprise. Following the market lows reached on March 23rd, the S&P 500 was up 38% through the end of the 2nd quarter, marking one of the sharpest rallies over the past 100 years. The rally was not only monumental given the total return in just 3 months, but there was also 29 trading days (out of 70) that were up over 1%.
With assurance from Chairman Powell that “we will not run out ammunition”, along with optimism that coordinated and focused scientific research would eventually lead to a vaccine (WHO reported there are more than 100 vaccine candidates and over 20 in clinical trials), investors started to look past the pandemic and forward to an economic recovery.
Click here to continue reading our 2nd Quarter 2020 Market Commentary