Stocks rode the “Trump bump” in the first quarter on hope that the new administration would have positive impacts on the economy through tax and fiscal policies. First-quarter earnings were overall positive, offering some tactile support to the ever-higher valuations, while the index hit new records almost weekly well into June. The technology sector seemed to be the problem child for stretches in the second quarter as experts saw valuations that may have finally become overstretched. During the period, Apple, the index’s largest holding, returned 0.3%.
S&P returns cool from first quarter's hot start; index still over 9% YTD
Despite the periodic turmoil, the index managed its best first half since 2013.