Franklin Templeton·2026-06-18·via All Articles on Seeking Alpha
Summary
Value stocks outperformed meaningfully, with the benchmark Russell 1000 Value Index returning 2.1% and the Russell 1000 Index and the Russell 1000 Growth Index falling 4.2% and 9.8%, respectively.
ClearBridge Value Fund exited positions in Salesforce and Amdocs as investors reacted to signs of moderating demand and concerns that AI-related spending could limit further margin expansion.
In consumer staples, negative performance was largely driven by Celsius after rising competitive pressures following Costco's launch of a lower-priced private-label energy drink raised fears of demand disruption.
The Fund's overweight to energy was supported by a sharp increase in oil, gasoline and natural gas prices driven by geopolitical tensions in the Middle East.
Corteva advanced as tightening global fertilizer markets — exacerbated by disruptions to natural gas and fertilizer supply chains in the Middle East — improved pricing power across the agricultural value chain.
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Key Takeaways
Markets: The first quarter of 2026 was defined by heightened macro-driven volatility, as markets contended with geopolitical shocks, shifting rate expectations and evolving economic expectations. Against this backdrop, value stocks outperformed meaningfully, with the benchmark Russell 1000 Value
