Stock Market Briefing #3 – Tariff uncertainty weighs on sentiment
We discuss last week's tariff news and its impact, estimate cuts, the Qualcomm-Arm dispute, FedEx's attractiveness, and much more!
My weekly recurring Stock Market Briefing is a paid-only article.
In these posts, I will walk you through and share my thoughts on those news items and highlights that stood out to me over the last week, including big developments on the stocks I own and follow and macroeconomic and market developments. I will elaborate on news items and put data into a bit more perspective while hopefully sharing plenty of insights in a 5-10 min read.
Ultimately, with this early Monday briefing, I hope to update you on big developments that are worth considering before markets open again for another trading week!
To get access to this weekly returning format + many more premium analyses, including access to my portfolio, all my price targets, and paid-only analyses, make sure to upgrade to the paid tier through the button below!
Cheers!
Can you still follow? New tariffs. Postponed tariffs. No, never mind, no tariffs. Or maybe lower tariffs. No, you know what, higher tariffs. And then some retaliatory tariffs from all other parties involved.
Last week, the story continued as President Trump once again announced new tariffs, stated that some others might come in lower than the street expects, and suggested that European tariffs might be broader in scope.
It is a real tariff bonanza, and there seems to be no end in sight. The thing is, tariffs themselves are bad when businesses and regulators can act on them in a timely manner to limit the damage. However, with tariffs right now being announced, postponed, and canceled, often within hours, the market, governments, and businesses simply have no chance to act accordingly.
Add to that the potential impact tariffs can have on the U.S. economy, likely leading to even stickier inflation and slowing economic growth, and you can see why investors do not like current developments. They are bad for business.
The result of another tariff frenzy last week was renewed chaos in the financial markets after we thought a somewhat dovish Fed in the previous week took away some concerns. That turned out quite differently. Here is how indices performed last week, showing broad-based losses: