Market insights and analysis

How dynamic, risk-managed investment solutions are performing in the current market environment

1st Quarter | 2021

Market insights and analysis

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Updates on how dynamic, risk-managed investment solutions are performing in the current market environment.

Major U.S. indexes ended mixed last week. The S&P 500 increased by 2.71%, the Dow Jones Industrial Average was up 1.95%, the NASDAQ Composite was up 3.12%, and the Russell 2000 small-capitalization index lost 0.46%. The 10-year Treasury bond yield fell 6 basis points to 1.66%, as Treasury bonds rose for the week. Spot gold closed at $1,743.88, up 0.84%.

Don’t let your heart rule your investments

This week, I want to talk about a well-documented pattern of investor behavior that does not serve their best interests: letting emotions rule investment decisions. We originally posted a version of this article last year just before the COVID crash.

Last week, gold prices continued moving up off the “double bottom” pattern identified in last week’s article. They broke above the resistance trend line that began at the start of 2021 and then approached the 50-day moving average before closing the week at $1,744.80 per ounce.

U.S. equity markets posted gains in all three indexes last week. The NASDAQ Composite gained 3.12%, the S&P 500 gained 2.71%, and the Dow Jones Industrial Average gained 1.95%.

Last week, the gold spot price was up 0.84% and the U.S. Dollar Index was down 0.82%.