The Globe and Mail reports in its Monday edition that investors are keeping an eye on the second quarter after a great beginning of the year for stocks. A Reuters dispatch to The Globe reports that their attention is on whether the Federal Reserve will follow through on the anticipated interest-rate cut by June, and they are also looking to assess the upcoming earnings reports. As they wait for these events to unfold, investors remain watchful for any potential bumps in the road. The S&P 500 ended the first quarter with a gain of more than 10 per cent, its largest first quarter gain since the 13.1-per-cent jump in the first quarter of 2019. While so-called Magnificent Seven stocks such as Nvidia and Facebook parent Meta provided the bulk of the gains for the quarter, economically sensitive sectors such as energy and industrials have rallied over the past six weeks. Whether the rally continues through June will likely depend on the Fed, which has not yet signalled that inflation has come down enough to justify a rate cut. Markets began January with six to seven cuts priced in over the course of 2024, but are now anticipating three cuts after signs of resiliency in the U.S. economy increased investor confidence.