Financial markets at a glance – June 30, 2022
FINANCIAL MARKETS
AT A GLANCE
JUNE 30, 2022
Both Canadian and U.S. equities were negative over the quarter. Yields were mixed across the curve. Corporate bonds outperformed government bonds, and subsequently shorter term bonds outperformed long term bonds. Here are the financial markets at a glance.
CANADIAN EQUITIES
US EQUITIES
Sector
10 of the 11 Canadian equity sectors ended the quarter in negative territory. Here are the best and worst performing sectors relative to last quarter.
Sector
All of the 11 U.S. equity sectors ended the quarter in negative territory. Here are the best and worst performing sectors relative to last quarter.
WORST PERFORMERS
BEST PERFORMERS
Energy
Utilities
Consumer
Staples
3.5% 
-3.5%
-5.0%
Healthcare
Information
Technology
Materials
-45.6%
-24.0%
-23.6%
Consumer
Staples
Utilities
-1.5% 
-2.0%
Consumer
Discretionary
-23.7%
-18.1%
Company size performance comparison
Large companies modestly outperformed medium and small-sized companies, but all were negative over the quarter.
Company size performance comparison
Small, medium and large companies were negative over the quarter, with medium companies underperforming the most.
What’s working/What’s not working
From a style perspective, both value and growth were negative, but value outperformed growth and the index.
From a factor perspective, dividends and low volatility were the best performers while quality and momentum trailed, but all factors were negative.
What’s working/What’s not working
Value and growth were both negative, but value outperformed both the index and growth in the quarter.
All factors were negative this quarter, but dividends and low volatility outperformed the index.
GLOBAL EQUITIES
FIXED INCOME
Regional
Company size performance comparison
Global small and large companies were negative over the quarter with small companies underperforming the most.
Small Companies
Large Companies
What’s working/What’s not working
From a style perspective, value outperformed growth and the MSCI World Index. However, both ended the quarter in negative territory.
Dividends and low volatility were the factors that outperformed the index, but all factors and the index were negative.
Yields were mixed across the curve this quarter, with yields in the short, middle and long end moving higher as interest rates and inflation rose.
Relative bond performance
Bond yield
Bond yields were up with both shorter and longer date bond yields increasing over the quarter.
Yield on the Canada 2-year rose from 2.27% to 3.10%.
Canada 5-year rose from 2.39% to 3.10%.
Canada 10-year rose from 2.40% to 3.23%.
Canada long bond rose from 2.37% to 3.14%.
Source: Morningstar Research Inc. as of June 30, 2022. © 2022 Morningstar Research Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
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June 2022
