World Markets Review for August 2017 | Capital Group

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Market Commentary

September 2017

World Markets Review for August 2017

Global stocks finished August roughly where they started as investor optimism over improving world economic growth was tempered by rising geopolitical risk. Developed markets in the U.S., Europe and Japan moved sideways as tensions rose over international disputes with Russia and North Korea. In contrast, emerging markets stocks rose on stronger metals prices and a weaker dollar.

Information technology and utilities stocks enjoyed the best gains, supported by strong corporate earnings growth. Energy stocks declined the most, weighed down by falling oil prices amid over-supply concerns. Financial stocks also fell as many investors appeared to take profits from what had been the highest returning sector in developed markets since the November U.S. elections.

Equity Index Returns (%)

August 2017

YTD 2017

U.S. Dollar %

Local %

U.S. Dollar %

Local %

S&P 500

0.3

0.3

11.9

11.9

MSCI ACWI

0.4

0.4

15.0

11.4

MSCI ACWI ex USA

0.5

0.5

18.9

11.0

MSCI World

0.1

0.1

13.5

10.0

MSCI Emerging Markets IMI

2.2

2.1

27.5

22.2

MSCI EAFE

—0.0

—0.0

17.0

8.2

MSCI Europe

0.1

0.1

18.9

8.7

MSCI Pacific

0.1

—0.0

14.3

7.8

Source: RIMES


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Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses or the collective investment trust's Characteristics statement, which can be obtained from a financial professional, Capital or your relationship manager, and should be read carefully before investing. 

Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and not to be comprehensive or to provide advice. 

Terms and Definitions
A market capitalization-weighted index based on the results of approximately 500 widely held common stocks.
MSCI All Country World ex USA Index is a free float-adjusted market-capitalization-weighted index that is designed to measure equity market results in the global developed and emerging markets, excluding the United States.
MSCI All Country World Index is a free float-adjusted market-capitalization-weighted index that is designed to measure results of more than 40 developed and emerging equity markets.
MSCI EAFE (Europe, Australasia, Far East) Index is a free float-adjusted market-capitalization-weighted index that is designed to measure developed market equity results, excluding the United States and Canada.
MSCI Emerging Markets Investable Markets Index measures large, mid and small-cap segments, covering approximately 99% of the free float-adjusted market capitalization of more than 20 emerging equity markets.
MSCI Europe Index is a free float-adjusted market capitalization-weighted index that is designed to measure results of more than 10 developed equity markets in Europe.
MSCI Pacific Index is a free float-adjusted market capitalization- weighted index that is designed to measure the equity market results across 5 Developed Markets countries in the Pacific region.
MSCI World Index is a free float-adjusted market-capitalization-weighted index that is designed to measure results of more than 20 developed equity markets.