GRS Asset Consulting Group

 

Text Box: MARKET SNAPSHOT
 


 

 

1st QUARTER 2003 INDEX RETURNS

 

Qtr Ytd

S&P 500

-3.15%

-3.15%

S&P/Barra Growth

-.83%

-.83%

S&P/Barra Value

-5.51%

-5.51%

S&P Midcap 400

-4.44%

-4.44%

MSCI EAFE

-8.13%

-8.13%

Lehman Aggregate

1.39%

1.39%


 

 

Major Economic Indicators

 

      The CPI-Urban/1982-100 for the 12-month period ended March 2003 rose 3.0%, compared to a 2.4% increase for the 12 months ended in December 2002. In the first quarter, consumer prices rose at a seasonally adjusted annual rate of 5.2%.

      The Producer Price Index (PPI) for finished goods rose 4.2% for the 12-month period ended in March. The seasonally adjusted annual rate for the 3 months ended in March was 17.4%.

      Real Gross Domestic Product (GDP) rose at an annual rate of 1.4% (final) for the fourth quarter 2002, compared with an increase of 4.0% (final) in the third quarter 2002.

      The Unemployment Rate was 5.8% in March. The rate was 6.0% in December, 5.7% in January, and 5.8% in February.

 

 

 

Federal Reserve News

 

      The Federal Reserve Board has established a primary discount rate of 2.25%. The rate is a result of the new discount rate program approved by the Federal Reserve Board on October 31, 2002. The primary discount rate is the interest rate the Federal Reserve charges banks for short-term loans.

      The Federal Reserve Open Market Committee maintained its target for the federal funds rate at 1.25% during the first quarter. The federal funds rate is the interest rate banks charge each other for overnight loans.

 

Sector Trends

 

      Best Performing Sector: Health Care rose .85% in the first quarter.

      Worst Performing Sector: Telecommunications Services declined 15.08% in the first quarter.

 

Source: Standard & Poors (Performance reflects Price Returns Only)