Market Recap – Feb 2012

The Markets

The Nasdaq came on strong for the second month in a row (though at a somewhat slower pace than in January) as it briefly hit 3,000 for the first time since 2000. An agreement on a second Greek bailout helped the Global Dow continue to heal; its year-to-date performance is now second only to the Nasdaq’s. Meanwhile, the Dow Industrial Average finally managed to close above the 13,000 level–at least for one day–and recorded its fifth straight month of gains, while the Russell 2000 lagged the large caps for the month.

After regaining some of the ground it lost late last year, gold celebrated the month’s extra day by falling to just over $1,700. Fueled in part by tensions with Iran, oil prices soared as much as 12% at one point before ending the month at $107 a barrel, raising concern about prices at the pump and the potential impact on economic recovery. The euro hit $1.34 at one point–its highest level since Thanksgiving–as eurozone interest rates stabilized a bit, while the yield on 10-year Treasuries nudged upward.

*Equities data reflect price changes, not total return.