08 Mar 2013, by
With the second month of the year behind us, things seemed to be continuing to move in the right direction in terms of both the economy and the financial markets. Although most stocks did not provide as strong returns as in January, year-to-date performance through February stood at roughly 6% for the broader U.S. equity indices. On generally good employment news, the upwardly revised Q4 2012 GDP numbers, and strong exports out of China, investors continued to show confidence by pushing markets to new highs. Initial concerns over the enactment of sequestration on March 1 were pushed to the wayside as the Dow closed at an all-time high on Tuesday, March 5. General feelings of optimism paved the way for continued strength in fund flows; investors injected roughly $10.8 billion into mutual funds and exchange-traded funds (ETFs) for the week.