March 2016 Commentary

Rising oil prices and a steady hand at the People’s Bank of China (“PBoC”) combined to knock fear from the top rung on the asset allocation factor ladder during the first half of March. Mid-month, Yellen’s FOMC turned shockingly dovish. This action accelerated the decline in the US dollar, indirectly assisting the PBoC by weakening its trade-weighted RmB currency, and caused investors to chase stocks, enabling the “bull” to celebrate its 7th anniversary while the VIX closed March at 13.95, down from its year-end close of 18.21...

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