Economic & Market Overview
Fourth Quarter Review
Investors enjoyed positive returns in the fourth quarter with bonds up 0.9% and U.S. stocks moving higher by 2.4%, while those attempting to discern the health of the U.S.
In this issue:
Fixed Income Commentary
Bond Market to Lean on Coupons for 2026 Returns
- Income from coupon payments prominent source of returns in fourth quarter.
- Slowing pace for Federal Reserve cuts in 2026.
Equity Commentary
An Outstanding Quarter & Year
Throughout 2025, equity markets exhibited the ebb and flow of various themes such as artificial intelligence, Magnificent 7, momentum, value then growth – then value to close out an outstanding year.