How the Week Broke | North America
Mar 9 -13
Note: None of the material or content contained herein constitutes investment advice. It is solely for educational and informational purposes.
THE AUDIO BRIEF
THE RUNDOWN
North American indices saw significant volatility this week, primarily driven by the escalating conflict in the Middle East and spiking oil prices.
The S&P 500 fell 2.4%, hitting its lowest level since November, as stagflation fears mounted.
The Dow Jones Industrial dropped 2.5%, bearing the brunt of the oil shock due to its heavy weighting in industrials and financials.
The Nasdaq Composite declined 2.6% as investors rotated away from high-growth technology and software stocks toward defensive sectors. Small-cap stocks in the Russell 2000 were hit hardest, falling 2.9% due to their higher sensitivity to economic instability and rising interest rates.
Meanwhile, Canada’s S&P/TSX Composite fared slightly better, declining 2.0%. While the index was supported by its significant energy sector exposure as crude prices surged toward $100, these gains were offset by a cooling domestic labor market and sharp losses in basic materials and gold.
