Investment Recap First Quarter 2004

The broader stock market began 2004 with modest gains, and once again, we outperformed.
 
The recent back up in the bond market gave credence to the idea that the economy is gaining strength and that the Federal Reserve will raise interest rates later this year.
 
Historically, stocks do well during the first in a series of Fed tightenings, but not as well later. Individual earnings continue to be the major story, with 60-70% coming in better than expected.