Weekly Market Bullets

for the week ending 11/7/2025

• US Equity Markets dropped notably last week amid concerns about AI-related valuations and weakening consumer sentiment, leading to profit-taking particularly across the technology sector. The S&P 500 dropped 1.6% for the week and is now up 14.4% for the year. The Nasdaq tumbled 3.0% for the week given declines in technology stocks to bring its gains for the year to 19.1%, while the Russell 2000 (small cap stocks) fell 1.9% for the week and is now up 9.1% for the year.

• Global Equity Markets declined as well last week, also caught up in profit-taking across technology. Developed Markets were down 0.9% for the week and are now up 22.7% for the year. Emerging Markets fell 1.4% for the week to bring its gains for the year to 28.5%.

• US Government Shutdown is starting to weigh on consumer sentiment. The preliminary University of Michigan Consumer Sentiment report for November dropped to 50.3, well below expectations and is lowest level in over three years. Worries over the government shutdown and its potential negative economic consequences were listed as the primary fear among consumers.

• Equity Returns over the past several years remain heavily skewed toward the Mag 7. According to Apollo Group, since January 1, 2019, an equally weighted index of the so-called Magnificent 7 stocks has generated total returns of approximately 1,100%. The returns of the largest 500 stocks excluding the Magnificent 7 during that same time frame is up about 290%. Admittedly, based on history, most investors would be thrilled with a 290% return over that period of time, but even we were surprised at the disparity between the Mag 7 and the rest of the market.

Market Data

for the week ending 11/7/2025