GLC Asset Management Group's Market Matters monthly investment commentary

GLC Market Matters

GLC Asset Management Group’s Market Matters monthly investment commentary is presented only as a general source of information and is not intended as a solicitation to buy or sell specific investments, nor is it intended to provide tax or legal advice. Prospective investors should review the offering documents relating to any investment carefully before making an investment decision and should ask DLD Financial for advice based on their specific circumstances.
May 2017 Highlights

  • May was a strong month for global equity markets, but the Canadian market was the exception (see table 1).
  • The VIX market volatility index dropped to levels not seen since January 2007.
  • After 15 months of positive monthly total returns the S&P/TSX Composite turned negative, hampered by weakness from the resource sectors and the financial sector.
  • The US S&P 500 hit seven new highs in May and closed the month above 2,400 for the first time.
  • Canadian corporate bonds underperformed the broad based bond index for the first time since July 2016. Corporate bonds were hampered in part by a record volume of issuance in the month of May.
  • The Bank of Canada, US Federal Reserve (Fed) and European Central Bank remained on hold in May. Expectations are now for the Fed to raise rates at their mid-June meeting.