February 2025 Monthly Market Update

The “U.S. exceptionalism” narrative lost some steam in February. The U.S. dollar (DXY Index) fell 0.7% and U.S. equities trailed foreign equities. The S&P 500 dropped 1.3% compared to gains of 1.9% for MSCI EAFE and 0.5% for MSCI Emerging Markets. Developed international stocks (MSCI EAFE Index) 3%-plus outperfo...