📊All Eyes on Tariffs

Issue #59 TIA Market Recap

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This Week’s Market Forecast… 📊

The market rallied strongly last week, reaching multiple all-time highs. It’s remarkable how much strength we’ve seen since the April tariff scare. Back then, we briefly entered bear market territory after the S&P and Nasdaq both dropped more than 20%.

Since then, not only have we recovered those losses, but we’re now up another 5%. Momentum has been powerful over the past couple of months—but this week will be key in determining whether the rally can hold.

Markets will be focused on tariffs as the self-imposed July 9 deadline approaches this Wednesday. There’s talk it may be pushed to August 1, but investors are watching closely to see whether the current deadline is met or extended.

Another major focus will be the tax bill President Trump signed into law on July 4. Both equity and bond markets will show us how they interpret the bill’s impact when trading resumes Monday.

Earnings season also kicks off this week. Delta reports Thursday before the open—marking the first major release ahead of next week’s big bank earnings. If this rally is going to continue, earnings will need to deliver.

On the economic front, we’ll get weekly jobless claims Thursday. Last week’s hotter-than-expected payrolls report surprised investors who had anticipated more weakness. While there are signs of softening in the labor market, it remains relatively strong. Investors will closely monitor each job data point—along with next week’s inflation reports—as the Fed moves closer to potential rate cuts.

Momentum has been solid. But for the market to push another 5–10% higher, we’ll need strong earnings and continued soft rhetoric on tariffs. If we get those two factors, the setup remains bullish. Without them, we may stay range-bound for the time being.

As always stay positive, get invested, and be optimistic!

Top ETFs on our Radar… 📈

iShares Expanded Tech-Software Sector ETF

The iShares Expanded Tech-Software Sector ETF has performed exceptionally well this year. Software companies have shown strong performance as investors seek to identify the next big winner in AI.

Tune in every Monday and Friday for in-depth Market Analysis, Recaps, and a featured Stock & ETF.

Thanks for reading and have a great week!

-Ryan

WOLF FinancialMoney making investing insights and analysis on a weekly basis.