FTSE Russell·2026-05-06·via All Articles on Seeking Alpha
Summary
During Q1, the Middle East conflict materially impacted the macro environment and equity return trends.
Unlike in Q4, larger equities were not consistently favored, which may reflect the change of leadership seen during the quarter with the macro shock and Tech moderation.
The immediate impact of the Middle East crisis was felt in commodity prices with oil and related commodities spiking in March.
In Q1, Value, Momentum and Yield continued to outperform while Quality reversed its performance from the previous quarter to lead the index.
In March, absolute factor valuations contracted sharply and ended the quarter lower than three months ago, except for Momentum which had expanded notably during January and February.
bluebay2014/iStock via Getty Images
By Mark Barnes, PhD, Head of Global Investment Research, Americas and Indhu Raghavan, CFA, Manager, Global Investment Research
March sees Momentum shift, even as Value solidifies outperformance helped by Energy
