The Factor Report

Market Wrap

For the week ended June 19th, 2026, stocks were higher everywhere. Bonds were about flat for the week as the iShares Core US Aggregate Bond ETF (AGG) rose 0.2% with yields holding steady; the 10-year US treasury yield remained at 4.5%, according to Yahoo Finance. Asset price drivers of the week:

• Monday started the week on a positive note with indices rising. Sunday's announcement of a pending deal with Iran put investors in a buying mood.
• On Tuesday, there was some profit-taking and also some trepidation ahead of the Federal Reserve's first meeting under new Chairman, Kevin Warsh.
• That caution proved to be well-founded after Warsh announced on Wednesday that the Fed would leave rates unchanged and that their focus is on inflation, which may lead to a rate hike later this year.
• The peace deal re-took center stage on Thursday and indices resumed their upswing. Weekly jobless claims were slightly higher than forecast and caught little attention. 
• US markets were closed on Friday in observance of the Juneteenth holiday.
• Next week will be another quiet one from a data perspective, but all eyes will be on Thursday's key inflation data-point. The Personal Consumption Expenditures price index, the Fed's preferred measure of inflation, will be released and that will take on even more importance after Warsh's press conference this past Wednesday.

Performance Summary

As shown in the chart, Emerging Markets were by far the week's winner as Developed Markets were about even with one another (the US and Non-US Developed). Within the US, it was again the tech-heavy Nasdaq that stole the limelight, besting all other indices. From a factor perspective, Momentum and Size in the US beat the broader S&P 500.

In The News

How much do Americans have saved for retirement by age group?

https://www.thinkadvisor.com/2026/06/17/average-retirement-plan-savings-for-6-age-groups-vanguard?utm_source=email&utm_medium=enl&utm_campaign=newsroomupdate&utm_content=06172026&oly_enc_id=3992A1328267B3X

Which ETFs own SpaceX?

https://www.fa-mag.com/news/which-etfs-own-spacex-87427.html?section=108&utm_source=FA+Magazine&utm_campaign=3df287d26d-FAN_FA+News_Foundation+Source+%233_061626_COPY_01&utm_medium=email&utm_term=0_-02ce404ce3-625981838

A great piece on how the Federal Reserve is different under new Chairman, Kevin Warsh.

https://www.marketwatch.com/story/fed-watching-is-looking-very-different-now-two-charts-can-help-you-in-the-warsh-era-d2372c15?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)

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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.