After the worst December for stocks in decades, global equity markets bounced back in January. In December, the S&P 500 fell 9.18% (its worst December since 1931) and entered bear market territory. Since Christmas, the S&P 500 has risen over 15% with a 7.9% jump in January alone, its best January performance since 1987.
Crude Oil was up around 18% during the month and Brent up around 14%. The Baltic Dry index was down about 40%. The Baltic Dry Index is a trade indicator that measures shipping prices of major raw materials and is often seen as a global growth indicator. Is that a sign that growth and trade further slowing?
Iron Ore was up around 20% during January and could be a small sign of improving economic conditions. U.S. job growth during the month remained robust too.
Here’s what we wrote about in January,
Looking back at 2018