Stone Dividend Growth Class Commentary
Stone Dividend Growth Class Update – March 31, 2022…
March capped off a head-spinning quarter for both geopolitical events and the investment markets, making it an equally challenging and frustrating time for investors. Equities hit correction territory in the quarter and the tech-rich Nasdaq temporarily dropped into bear market territory. Bonds had their worst quarter in 40 years as there was no place to hide, dropping 6% for the first quarter as interest rates spiked and robbed investors of the traditional haven when stocks fall sharply. Bond yields, as measured by the benchmark US 10-year treasuries, spiked 70bp for the month and 91bp for the year closing at 2.48%. Commodities had their best quarter since 1990 as everything from oil to wheat to nickel surged in price. Supply and demand were already tight ahead of the war, due to the COVID-induced supply chain disruptions. The Russian invasion of Ukraine supercharged the rally in commodities as goods coming out of the Black Sea were disrupted. It is difficult to have any sort of positive conviction with the looming uncertainties in the world and the economy…read more
