Over the past 20 days, the S&P 500 index has underperformed compared to global assets correlated with risk sentiment, lagging by 4.2% cumulatively. In contrast, the EFA, which represents ex-U.S. developed markets, has surged 1.9%, marking its best performance against U.S. stocks since November 2022. Year-to-date, the EFA has increased by 10%, while the S&P 500 and Russell 2000 have shown modest gains of 1.2% and losses of 3.0%, respectively. The rest of the world stocks are up 6.1%, a notable recovery from a 2.2% increase in 2024, while U.S. economic policy uncertainty is expected to keep markets volatile in March. Additionally, the U.S. market has returned 1.4% compared to Europe’s 10.7% so far in 2025, as indicated by the Stoxx Europe 600 converted to USD returns.