Market Thoughts February 2025

Commonwealth’s Brad McMillan recaps January’s market and economic news. Markets rallied in January as improving fundamentals supported stocks. The S&P 500, Dow Jones, and Nasdaq ended the month in positive territory, and the story was similar internationally as developed and emerging markets rebounded. The healthy economic backdrop supported strong earnings results, and the solid labor market bolstered consumer confidence. While the market rally was welcome, investors still face real risks, including policy uncertainty with tariffs and potential market volatility. Are we positioned to weather the turbulence ahead?