The Credit Suisse/Tremont Hedge Fund Index rose 2.02% in April, says Oliver Schupp, president of the Credit Suisse Index Co., Inc.

The Credit Suisse/Tremont Blue Chip Investable Hedge Fund Index rose 1.68% in the month, and the Credit Suisse/Tremont Managed Futures Sector Invest Index gained 4.44%.

“Consumer confidence was quelled on the back of higher fuel prices, a sagging housing market and a bigger trade deficit that added to slowing economic growth (the 1.3% annual growth rate for the first quarter was less than forecasted, following a 2.5% fourth-quarter pace),” says Schupp. ”Simultaneously, bonds rallied as traders bet on the slowing economy, global equity markets both expanded with record highs and contracted, while speculation led to the belief that the U.S. Fed would not cut interest rates to slow inflation and spur growth.”

“Overall, this market environment has been favorable for the majority of hedge fund strategies. Managed Futures, in particular, was up 4.02% in April as managers generally profited from currencies as the U.S. Dollar and Japanese Yen weakened and the Euro strengthened,” Schupp adds.