Market Digest \u2013 Week Ending 4\/2\r\n\r\nUS Stocks finished a short, choppy week with modest gains. International stocks outperformed. Economic news was slow. After years of back and forth, The US and Iran reached a nuclear agreement. A private jobs report indicated employment growth may be slowing the Labor Department will release its own report on Friday.\r\n\r\nWeekly Returns:\r\nS&P 500: 2,069 (+0.3%)\r\nFTSE All-World ex-US: (+1.0%)\r\nUS 10 Year Treasury Yield: 1.91% (-0.04%)\r\nGold: $1,202 (+0.4%)\r\nUSD\/EUR: $1.088 (-0.1%)\r\n\r\nMajor Events:\r\n\u2022 Monday \u2013 UnitedHealth announced it will buy Catamaran for $12.8 billion.\r\n\u2022 Wednesday \u2013 GoDaddy shares surged 30+% in a successful IPO which valued the company at nearly $4 billion.\r\n\u2022 Wednesday \u2013 California ordered mandatory water cuts for the first time. They are likely to include household water rationing in some districts.\r\n\u2022 Wednesday \u2013 President Obama moved to add sanctions against nations and people who participate in cyberattacks against US citizens and companies.\r\n\u2022 Thursday \u2013 Iran and the US agreed to a framework for a nuclear deal. It would place restrictions on Iran\u2019s nuclear work for 25 years in exchange for lifting sanctions.\r\n\u2022 Friday \u2013 Stock market closed for Good Friday.\r\n\r\nOur take: \r\n\r\nThe first quarter ended Tuesday. Quietly, International Stocks meaningfully outperformed US Stocks. The FTSE All-World Index rose 4.3%, while the S&P 500 was up less than 1%. This marks a stark contrast to last year when the S&P was up double digits and International Stocks were down for the year.\r\n\r\nIt wasn\u2019t just last year. The US has been generally outperforming since 2010, and the spread has grown large. One quarter is not enough to declare a new trend, but does provide a nice reminder that capital markets tend to mean-revert. It has been easy to sour on International Stocks lately, but the start of 2015 should be inspiration to remain diversified. If you\u2019ve haven\u2019t done so for a while, odds are you\u2019re now overweight US relative to International \u2013 don\u2019t forget to rebalance periodically.