Early in the week, markets notched steady gains as investors awaited key economic indicators and monitored ongoing trade discussions. Megacap tech names—particularly AI chipmakers—led the broader market higher, as sentiment stayed bullish on prospects for a U.S.-China trade deal.
Pricing power remains a growth lever, but volumes are showing strain. The new tariff regime is set to test the limits of pricing power further. Companies are still managing to push through price gains, but elasticity is no longer negligible. And tariffs threaten to raise input costs, squeezing margins.
Currency risk can be material, and hedging decisions can make a real difference to return the outcomes. At a time when markets are witnessing sharp shifts in historic relationships, such as that between the US dollar and US equities in 2025 thus far, it is worth revisiting those decisions.
Scores generally provide a relative way to gauge a participant from amongst many, and therefore drive outcomes related to eligibility for one. Interactive Advisors (IA) uses risk scores to facilitate investment strategy matches between a client and a portfolio offering.
When you take seven assets from various parts of the market, and six of them say one thing while one says something different, you wonder what that one asset knows that the others don’t.
It is difficult to view political developments in an apolitical manner, but I’ve learned the hard way that one’s political opinions can all-too-easily cloud objective judgments about investing.
The recent spike in U.S. 30-Year bond yields reflects investor concerns over long-term debt sustainability and fiscal policy shifts. Rising 30-Year yields in other major economies point to a global aversion to long duration, not just a U.S.-specific issue.
US debt levels have risen to concerning heights, prompting increased scrutiny from economists and policymakers. Although the United States continues to hold a high-quality debt rating, the growing debt burden may lead to higher risk premia, ultimately increasing the cost of borrowing.
Despite the dollar’s recent weakness, the structural advantages of deep and liquid US financial markets, its dominant role in trade invoicing and as a monetary anchor, are sustaining its primary reserve currency status.
The key to investing is persistence and patience. Markets follow the cumulative mechanism. Those who stay the course through both thick and thin and stick to the long-term goals will win.
The primary focus this coming week will remain on the bond market, with the Treasury auctions drawing significant attention. These auctions should fare better than last week’s poorly received 20-year auction.
The increasingly confrontational developments related to cross-border commerce have pushed all major equity benchmarks and sectors into the red, as well as the greenback.