After a difficult first quarter, U.S. equity indexes roared back in the second quarter of 2025, and with the exception of the S&P 600 Small-Cap Index, are now positive for the year.  It is fair to say that the snap back caught many investors by surprise as tariff and inflation uncertainty remain.  The strength in equities suggests that investors believe the ultimate impact from tariffs will be manageable.  Also, economic reports have generally been good, and first quarter corporate earnings were generally solid.  However, we continue to expect volatility to remain high over the coming months as we begin to receive more clarity on the final tariff levels that are implemented and whether that negatively impacts inflation.

Continue Reading: Vestor Capital Quarterly Commentary