STRATEGY RECAP

Below is a summary of how the Triple X strategies performed in the past month.

Steady Eddies: Bonds and Cash Our Triple X Treasury Bond Strategy provided a steady if unspectacular return of 0.93% over the last month, aligning with its year-to-date performance. It's clear that our bond strategy has provided a harbor in the choppy waters of the market, underscoring its role as a defensive play.

Cryptocurrency: Volatility Begets Opportunity Our Bitcoin Trust Strategies saw notable movements, with the Daily and Weekly strategies returning 6.41% and 4.21% over the past month, respectively. This showcases the inherent volatility in cryptocurrency markets, which can be a boon for nimble strategies.

Domestic Equities: Small and Mid-Caps Outperform Domestic equities have painted an impressive picture, particularly within small and mid-cap stocks. The Triple X S&P 400 Midcap Strategy soared with a remarkable 13.96% monthly return, leading to an exceptional 27.14% return year to date. Similarly, the Russell 2000 Small Cap Strategy posted an 8.59% return for the month, further evidence that smaller companies have been agile in navigating the current economic terrain.

The Shine of Precious Metals Gold and Silver Strategies have glittered this period, with returns of 5.90% and 8.60%, respectively, possibly indicating investor caution, with traditional safe havens coming to the fore.

Utilities: A Surprising Spark A standout performance came from the Triple X Utilities Strategy, which electrified with a 10.71% return for the month, despite a year-to-date downtrend. This could reflect seasonal or regulatory changes affecting the sector.

THE INVESTMENT MARKETS

In the latest roundup of investment market performance, there have been notable movements across various asset classes and sectors that are worth your attention.

Equity Markets: A Glimpse at Diverse Growth Mid-cap stocks outshone their larger and smaller counterparts with the US Mid Cap Growth leading at a robust 5.71% return over the past month. Large-cap stocks presented a mixed bag, with US Large Value performing strongly at 4.61% whereas Large Growth lagged behind at 2.07%. Small caps showed modest growth with returns hovering around the 3% mark.

Sector Spotlight: Energy Surges Ahead A standout performer has been the U.S. Energy sector, surging to a 10.49% return. Materials and Utilities also posted strong gains, at 6.47% and 6.59% respectively, reflecting a potential shift towards value and defensive stocks. Technology and Telecommunications sectors struggled to keep pace, with returns below 1%.

Fixed Income: Muted Returns The bonds market has remained relatively muted with the US Core TR Bond and International Bonds providing returns just below 1.5%. The Bloomberg Barclays High Yield Bond showed a bit more life with a return of 1.73%.

International Equities: Europe Takes the Lead Looking overseas, European stocks have had a healthy performance, with MSCI Europe NR USD posting a 3.82% return. The Pacific and Latin American regions trailed with lower but still positive returns.

Alternative Assets: Gold Shines Brightly In alternative assets, gold stood out with an 8.32% increase, perhaps indicating a flight to safety among investors. Broad Commodities also had a strong showing with a 4.45% return, potentially benefiting from the same trends buoying the energy sector.

THE ECONOMY

Here's the latest on the U.S. economy's performance, as we delve into the numbers that matter.

Steady Employment with Signs of Robust Growth The unemployment rate has been a model of consistency, remaining largely flat at 3.7% from October to March, with a slight uptick to 3.9% in February before settling back to 3.8% in March. This steadiness indicates ongoing resilience in the labor market, despite the myriad of economic headwinds.

Inflationary Pressures Under the Microscope The Consumer Price Index (CPI) has crept up from 0.1% in October to 0.4% in March, signaling that inflationary pressures are not to be overlooked. The Producer Price Index (PPI) has had more variability but the trend remains upward, a reminder of the inflationary undercurrents in the economy.

Trade Costs Provide a Mixed Bag The U.S. Import Price Index saw decreases in late 2023, which reversed into the new year, rising from a 0.7% increase in January to a 0.4% increase in March. This could reflect fluctuating commodity prices and changes in global trade dynamics, which bear watching for their potential impact on inflation and consumption.

Quarterly Insights Show Economic Vigor On a quarterly basis, the Employment Cost Index has remained relatively stable with a slight dip to 0.9% in the last quarter of 2023. Meanwhile, productivity, which had a dip in the first quarter of 2023, has rebounded significantly, indicating that the U.S. workforce is doing more with less, a positive sign for future economic output.