December has been a horrible month for stocks. The worst December so far since The Great Depression. As such, it makes sense to look under the hood.
The S&P 500 has now fallen -13.39% since the close on December 3rd. Meanwhile the Russell 2000 has fallen -16.58%. Below we update returns for the quarter and year to date of ETFs that track the various asset classes with some quick comments.
The only bond ETF to track positively is TLT for the quarter but is still down year to date with LQD and HYD.
All equity indexes are lower for the quarter and year.
Commodity ETFs are mixed for the quarter with only natural gas (UNG) and wheat (WEAT) higher for the year.
Currencies are dominated by the U.S. Dollar that is up nicely this year at the expense of most other currencies. The exception is the Japanese Yen (FXY) that is also higher.
All international ETFs are lower for the year with only Brazil (EWZ) higher for the quarter.
Last, in terms of Sector ETFs, Healthcare (XLV), Software (IGV) and Utilities (XLU) are higher for the year. Only Utilities are higher for the quarter.
This is absolutely on par with other bear markets that I have seen since I began in 1986. What is unique about this one is how it fell apart in December.