Both equity and rates markets experienced heightened volatility in October, ending the month with broadly lower returns. U.S. equities, as measured by the S&P 500 Index, returned negative 0.92% versus negative 4.86% for non-U.S. equities, as measured by MSCI All Country World Index ex-U.S. International equities struggled as European growth concerns persisted, and optimism waned in China for stimulus measures enacted in September. As the dust settled on the Federal Reserve’s September rate cut, U.S. Treasury yields increased in October after the release of a strong September jobs report led to increased optimism about the U.S. economy.
