Explosive Tariffs Give Way To The Market Fireworks Of New Record Highs

Market Commentary – June 30, 2025

What A Year So Far – From Bear To Bull In 2 Months

The year started off strong, but the tariffs announced on April 2 proved worse than expected, so stocks corrected some 20%, sending the market into Bear territory – only to bottom and rally 27% – reaching record highs in just 2 months’ time. This is one of the fastest declines/recoveries in the history of the equity market. No wonder investors have been nervous. The volatility in 2025 has been extraordinary. But, as we always advise, investors need to be patient. The underlying driving theme of the global economy is the next generation of technology, which is being used and developed at the fastest pace in history. Back when tariffs dominated the headlines, we made the case that the underlying fundamentals of artificial intelligence, robotics, virtual reality, blockchain, and Web 3.0 hadn’t gone away – and would eventually return to the spotlight. Now here we are, with innovation once again leading the charge and pushing equities to new all-time highs.