Confusion is the Enemy Financial Markets This past week continued the theme of uncertainty that has persisted since the beginning of the year. Financial markets are always subject to speculation and volatility, but the extent of the confusion seen recently is unusual. All three major U.S. equity indices lost ground throughout the week, only seeing…

A World Turned Upside Down Financial Markets U.S. financial markets declined last week, reversing gains for the S&P 500 since the beginning of the year. With two consecutive years of 20%+ returns, investor enthusiasm is subject to corrections. As we and many others have reiterated, markets dislike uncertainty, and at present, uncertainty reigns supreme. While…

A Confusing Market Rally Financial Markets Equity markets rallied to near record levels last week, continuing a strong upward trend despite economic reports that could have given investors reason to hesitate. This rally isn’t surprising given the broader market momentum. However, what stood out this time was the resilience of equities in light of data…

Confusion Financial Markets All the major equity market indices lost ground last week.  Two driving factors were economic releases and tariffs.  On Friday, we received another strong employment report, giving Federal Reserve officials more reason to hold off on further rate cuts. Regarding the second factor, the President announced 25% tariffs on Mexico and Canada…

A Good January for Investors Financial Markets Although it had the potential to end badly, most financial markets around the globe finished with gains for the first month of 2025.  It was certainly an eventful final stretch, with DeepSeek’s AI breakthrough and the news of higher-than-expected tariffs against China, Canada, and Mexico—an interesting mix of…

Into the Unknown! Financial Markets In a remarkable atmosphere of relief, investors greeted equity markets with surprising enthusiasm, pushing the S&P 500 to new record highs.  Last week’s economic releases were fine, and corporate earnings reports have been solid.  Perhaps the most encouraging news for markets was the benign tariff commentary from the White House…

A Change of Mood Financial Markets United States equity markets had a difficult week, driven by stronger-than-expected economic data.  Interestingly, under different circumstances, markets may have rallied.  However, in the current state of the world, financial markets are dominated by inflation concerns and Federal Reserve decisions.  Market participants analyze every new piece of information through…

Ending With Concern, But Opening With A Smile Financial Markets United States equity markets ended 2024 on a down note but rebounded to close out the first week of the year, closing only slightly in the red. As of market close Friday, 1/3/2025, Factset Looking back on 2024, it was quite a remarkable year.  In…

A New Beginning Financial Markets This past week was a disappointing one for equity markets. The major market indices opened the week on a strong note but faltered as the week went on. It will be interesting to see what the last trading week of the year brings. Looking at equity returns for 2024, readers…

A Market in Confusion Financial Markets Equity markets moved lower in the first two days of trading last week but looked like they would turn higher after a Wednesday in-line Consumer Price Index (CPI) report. For a moment, life was great, but traders changed their tune, and markets once again moved into negative territory. Some…