Domestic equities continued to stabilize during May following a volatile Q1. Results were led by technology stocks, which have lagged recently due to a rotation away from growth in favor of more defensive stocks. International developed and emerging market equities were negative, as a strengthening dollar coupled with the “Brexit” vote in June weighed on stock prices abroad.
Further gains in employment and a firming oil market likely factored into the Federal Reserve hinting that a June rate hike could be in the cards. Interest rates jumped at the news, though ended the month largely unchanged. Bonds were largely flat during the month, as credit markets cooled after three months of solid gains.

- Federal Reserve members turned hawkish mid-month, hinting that the conditions to support a policy change as laid out in the April meeting minutes have been met (strengthening economy, increase in jobs, and inflation trending to 2%)

- West TX Intermediate (WTI) crude prices closed the month just shy of $50/barrel; this level was last seen in November '15 and represents a 33% gain in price on the year and a nearly 50% gain from the February lows

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