Articles

In this month’s market update, Ted Cohan, Senior Portfolio Manager at Baker Boyer, recaps the latest trends across U.S., international, and bond markets.

Stocks climbed to new highs in July, with the S&P 500 and Nasdaq both logging six consecutive record closes late in the month. Investor sentiment improved after better-than-expected Q2 earnings and trade agreements with Japan and the EU, with tariff rates on the deals less severe than feared. Market breadth improved early in the month as smaller companies outperformed the S&P 500. However, by month-end, market leadership was top heavy again, with the Magnificent 7 gaining over +5% after leading AI firms reported strong Q2 earnings. Volatility remained subdued for most of July, and the VIX fell below 15, signaling investor confidence but hinting at potential complacency.

After a volatile start to the year, the stock market staged a strong rebound over the last three months. In Q1, market sentiment was cautious due to rising policy uncertainty, concerns about slower economic growth, and questions about the longer-term outlook in the artificial intelligence industry. In Q2, caution gave way to renewed optimism as tensions eased, tariffs had a limited economic impact, and companies posted stronger than expected Q1 earnings. The dramatic shift in sentiment across the quarters created two distinctly different market environments.

Senior Portfolio Manager Ted Cohan focuses on a recap of key performance trends across U.S., international, and bond markets, along with a brief look at economic indicators like GDP and Fed policy.

Stocks declined in early April after the White House unveiled sweeping tariffs, with the S&P 500 falling over -10% in the first week. However, after the administration paused tariffs and trade tensions eased, the S&P 500 rebounded to finish the month with a loss of less than -1%. Interest rates were volatile in April as the market navigated tariff headlines and economic uncertainty but ultimately ended the month unchanged, with Treasury and corporate bonds flat. Outside the stock and bond markets, gold surged to a record high amid increased market volatility. Elsewhere, the U.S. dollar weakened due to concerns about the direction of U.S. policymaking. As discussed below, Washington policy has had a significant impact on global markets this year.

John Cunnison and Tyson Romanick provide an analysis of the recent tariffs imposed by the Trump administration and their potential impact on both the U.S. and global economies.

In this month’s Market Update, Senior Portfolio Manager Ted Cohan dives into the latest market trends and their impact on investors. He discusses the ongoing market volatility, the role of tariffs in shaping economic conditions, and planned portfolio adjustments being made. Additionally, our Portfolio Managers share insights on how the market is navigating economic and policy uncertainty so far this year.

In this month's Market Update, John Cunnison breaks down key topics impacting the economy and investments. He explores the resilience of the U.S. economy, including consumer spending, housing, and inflation trends, while addressing concerns about proposed tariffs and their potential impact on inflation and economic growth.

John Cunnison, CIO, and Tyson Romanick, Senior Portfolio Manager, discuss key market trends, client questions, and investment strategies for the year ahead.

In this Market Update, John Cunnison highlights the positive momentum in today’s financial markets. The economy has avoided a recession, growth remains steady, labor markets are thriving, inflation is nearing target, and the Federal Reserve is easing rates.

Ted Cohan highlights the importance of staying focused on long-term investments regardless of election cycles and also discusses the recent rise in Treasury yields following the Fed's September rate cut.

In this month's Market Update, John Cunnison reflects on the challenges of the past five years, including the pandemic, inflation, rising interest rates, geopolitical tensions, and market volatility.