Global performance strong in first quarter

Stocks in the U.S. and around the world ended a strong first quarter with a whimper as investors wavered amid political and economic uncertainty. The rand tumbled after South Africa’s finance minister was fired.

Since the start of the year, the S&P 500 is up 5.7 percent, its best quarterly performance since 2015, and the Dow has gained 4.9 percent. The Stoxx Europe 600 had a quarterly advance of 5.2 percent.

Inflation in the euro area slowed for the first time in nearly a year this month, which may reinforce the view among some European Central Bank policy makers that it’s too soon to start unwinding unconventional stimulus. The 1.5 percent rate of price growth in March was down from 2 percent in February and weaker than economists had forecast.

Investor focus in the second quarter looks set to be on whether political developments in the U.S. and Europe will cloud a brightening global economic outlook. President Donald Trump’s setback on a flagship health-care bill has cast a shadow on his fiscal agenda, while French elections could be a litmus test for the rise of European populism.

The European Union won’t allow defense and security to become bargaining chips in negotiations with Britain over its exit from the bloc, EU President Donald Tusk said.

In Prime Minister Theresa May’s Wednesday letter that officially served notice of the U.K.’s intention to leave the EU, she wrote that failure to reach an agreement would weaken the “fight against crime and terrorism.” This led some EU leaders to condemn the use of cross-channel security as leverage in the negotiations.

Japan’s Topix became one of the few gauges in Asia posting a loss this quarter, wiping out a morning rally despite positive economic data.

Oil held just above $50 a barrel and posted the biggest weekly gain this year on speculation OPEC will extend its deal to curb output.