What’s covered in this newsletter:
Current Look at the Market for DIY Investors
Our 3 Model Portfolios
Forward Guidance for the Markets
Money Tip: Building an Emergency Fund
Current Look at the Market
The market took a beating in April— and it wasn’t subtle.
The Trump administration had their ‘Liberation Day’ announcement on April 2nd, and to say the market didn’t take kindly to that news would be grossly understated. In a matter of 5 days, the market sold off -16.27%. Unreal! Then on April 7th (circled in pink) there were rumors that there would be a pause on tariffs. Fake news!
The real news occurred 2 days later on April 9th (circled in blue) wherein President Trump announced a 90-day pause on ‘reciprocal’ tariffs for most countries, but not on China. Exhausted yet? Buckle up because this is likely going to be a common theme for the next while, possibly the duration of the current Administration’s tenure.
Meanwhile, companies have been reporting earnings from the prior quarter (pre-tariffs), but come July-August, Q2 reports will start reflecting the impact—especially from China.
We are now in a full-blown trade war with China. How it ends? Pure speculation.
A resolution is badly needed. As the master poet Maynard James Keenan once said: “Cold silence has a tendency to atrophy any sense of compassion.” And right now, the U.S. and China are locked in cold silence.
But here’s the part no one's talking about yet...
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