U.S. stocks struggled for direction last week but closed lower as the fallout from the coronavirus pandemic has become increasingly present in economic data, including another record increase in unemployment claims.

Last week U.S. equities staged a significant relief rally with double digit percentage gains driven in part by oversold conditions and by announcement of record amounts of fiscal and monetary policy stimulus. For the week, the Dow Jones climbed 12.8% while the S&P 500 and Nasdaq Composite gained 10.3% and 9.1%, respectively.

We wanted to stay in touch and let you know about some defensive changes we are making in your portfolio. Unprecedented measures being taken globally to combat the COVID-19 virus will most certainly have negative economic repercussions, which we believe will be both deeper and longer-lasting than investment markets are currently recognizing.

For all of us, this is not only an uncertain time, but also unsettling. A strong sense of collective responsibility and action from our markets and Government is key to navigating this well. We are continuing to monitor this on your behalf.

The worst one day decline in U.S. stocks since December of 2008 shook financial markets yesterday.