The Factor Report

Market Wrap

For the week ended July 17th, 2026, stocks were lower everywhere. Bonds were higher for the week as the iShares Core US Aggregate Bond ETF (AGG) rose 0.12% with yields holding steady; the 10-year US treasury yield remained at 4.54%, according to Yahoo Finance. Asset price drivers of the week:

• With little data to react to, investors sent stocks lower on Monday as fighting continued in Iran.
• Indices reversed course and rose on Tuesday after a report showed the Consumer Price Index rose less than expected in June, courtesy of oil falling.
• The rally continued on Wednesday thanks to a follow-on report showing that the Producer Price Index fell in June and was below forecasts year-over-year.
• On Thursday, stocks sank after Federal Reserve officials hinted at a potential rate hike later this year. Tech stocks led the way lower on concerns that AI is overhyped. 
• Tech stocks led indices sharply lower on Friday after Netflix delivered a big earnings miss and AI jitters continued.
• Next week will be a relatively quiet one, although we will get weekly private payrolls, initial jobless claims, building permits, and new home sales.

Performance Summary

As shown in the chart, Non-US Developed held up the best for the week, followed by the US. Emerging Markets were deep in the red. Within the US, the tech-heavy Nasdaq was by far the biggest drag on the broader market as the more traditional stocks of the Dow Jones Industrial Average outperformed. From a factor perspective, all factors except Momentum in the US beat the broader S&P 500.

In The News

A great piece for all ages on why not to freak out about retirement.

https://www.marketwatch.com/story/silently-freaking-out-about-retirement-why-it-may-not-be-as-bad-as-you-think-3175d0e1?mod=home_ln

College savings: Roth IRAs vs. Trump accounts.

https://www.savingforcollege.com/article/trump-account-vs-529?utm_source=mailchimp&utm_campaign=sfc_consumer_2026_07-14&utm_medium=email

One analyst's opinion about why to stay calm on chip stocks.

https://www.marketwatch.com/story/chip-stocks-enter-bear-market-territory-a-bofa-analyst-says-not-to-panic-4d34df17?mod=home_lead

Disclosures

Past performance may not be indicative of future results. Different types of investments involve varying degrees of risk. Therefore, it should not be assumed that future performance of any specific investment or investment strategy will be profitable or equal the corresponding indicated performance level(s). Moreover, you should not assume that any of the above content serves as the receipt of, or as a substitute for, personalized investment advice from Metric Financial.

All data and performance information sourced from Morningstar and MarketWatch, unless otherwise indicated.

USA is the MSCI USA index, Non-US Developed is the MSCI EAFE index, Emerging Markets is the MSCI Emerging Markets index, and All Country World is the MSCI ACWI index. One cannot invest in an index. Because the factor indexes have varying inception dates, some of the returns provided are back-tested and do not represent actual performance. Inception dates are as follows:

Momentum = MSCI ACWI Momentum NR USD Index (Inception: 11/30/95)

Value = MSCI ACWI Enhanced Value NR USD Index (Inception: 5/29/15)

Quality = MSCI ACWI Quality NR USD Index (Inception: 5/29/92)

Low Volatility = MSCI ACWI Minimum Volatility (USD) NR USD Index (Inception: 5/28/93)

Size = MSCI ACWI Risk Weighted NR USD Index (Inception: 4/6/11)

Metric Financial, LLC (“Metric”) is a registered investment adviser offering advisory services in the State of Connecticut and in other jurisdictions where exempted. Registration does not imply a certain level of skill or training. Follow-up or individualized responses to consumers in a particular state by Metric in the rendering of personalized investment advice for compensation shall not be made without our first complying with jurisdiction requirements or pursuant to an applicable state exemption.

All written content is for information purposes only. Opinions expressed herein are solely those of Metric, unless otherwise specifically cited. Material presented is believed to be from reliable sources and no representations are made by our firm as to another parties’ informational accuracy or completeness. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.