President Trump’s April 2 tariff announcement surpassed Wall Street’s worst expectations and roiled financial markets, sending the S&P 500 down 10.5% during a two-day decline only surpassed by 1987, the Global Financial Crisis and the initial reaction to Covid-19. While the selling at times appeared on the verge of panic, markets stabilized the following week. Given the cost and economic risks posed by the tariff policy, a 10% correction in equity prices appears warranted.
It is the maxim of every prudent master of a family, never to attempt to make at home what it will cost him more to make than to buy…What is prudence in the conduct of every private family, can scarce be folly in that of a great kingdom. – Adam Smith, The Wealth of Nations
Home » Market Commentaries » 1st Quarter 2025 Market Commentary
1st Quarter 2025 Market Commentary
President Trump’s April 2 tariff announcement surpassed Wall Street’s worst expectations and roiled financial markets, sending the S&P 500 down 10.5% during a two-day decline only surpassed by 1987, the Global Financial Crisis and the initial reaction to Covid-19. While the selling at times appeared on the verge of panic, markets stabilized the following week. Given the cost and economic risks posed by the tariff policy, a 10% correction in equity prices appears warranted.
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