Market developments
Equities: U.S. stocks rebounded sharply on Friday but still ended the week lower, with the S&P 500 falling 2.27% and the Nasdaq down 2.43%. The Friday bounce came after markets had slipped into correction territory, with stocks dropping 10% from February’s record high. Investor sentiment remained fragile amid concerns over President Donald Trump’s trade policies.
Fixed Income: Treasury yields climbed throughout the week, with the benchmark 10-year yield settling at 4.31%. Despite rising yields, the U.S. Aggregate Bond index managed a 0.15% weekly gain, while European bonds declined 0.22% amid news of Germany’s debt-funded spending package. U.S. high-yield bonds were hit harder, falling 0.91% for the week as investors reassessed risk exposure amid heightened market volatility and continuing concerns about the economic impact of potential tariffs.
Commodities: Oil prices snapped a seven-week losing streak with West Texas Intermediate crude posting a modest 0.13% weekly gain, settling above $67 a barrel. Gold reached a significant milestone, briefly exceeding $3,000 an ounce and ending the week up 2.55%. Copper was the standout performer in commodities, surging 3.97% for the week as industrial metals continued to show strength despite broader market uncertainty.