In this environment, growth stocks have outperformed value stocks, reflecting broader market trends.

The Hartford Quality Value ETF (QUVU) notably outperformed the Russell 1000 Value Index, primarily due to effective security selection.

Amid these market dynamics, the Federal Reserve is navigating resilient employment levels alongside moderating inflation, which remains above target.

Looking ahead, the Fed has projected only one interest rate cut of 25 basis points in 2024, a reduction from earlier expectations of three cuts, though many economists anticipate two cuts this year.

Strong selections in healthcare, industrials, and financials positively impacted returns, although weak selections in materials, utilities, and real estate partially offset these gains.

US equities have shown remarkable strength, surging for the third consecutive quarter, with the S&P 500 Index reaching record highs.

This performance has been largely driven by a select group of mega-cap technology companies, creating a significant disparity between the market-cap weighted S&P 500 Index and its equal-weighted counterpart.

In contrast, the Russell 1000 Value Index recorded a return of -2.17%, with nine out of eleven sectors declining, particularly in consumer discretionary and healthcare.

The fund maintains overweight positions in communication services and healthcare, while being underweight in industrials and financials.

While the fund's allocation benefited from an overweight position in utilities, it faced challenges due to an overweight in communication services.

Market volatility may increase in the latter half of the year, driven by uncertainty surrounding upcoming election outcomes.

Investors are encouraged to keep an eye on macroeconomic indicators such as consumer spending and employment to better understand prevailing market conditions.