After logging strong returns in 2017, global equity markets delivered negative returns in US dollar terms in 2018.

We consider the U.S. economy to be extremely strong with a very low probability of a recession in the near future. Gross domestic product (GDP) grew at an annual rate of 3.5% this past quarter.

The first half of 2018 has given us plenty of praiseworthy economic news. Consider the labor market: Unemployment has shrunk to a low we have not seen since a brief period in 2000.

As 2018 dawned, it seemed we might settle in for another year of records in the equities markets.