Weekly Market Bullets

for the week ending 7/25/2025

• US Equity Markets extended their rally last week, as corporate earnings strength fueled optimism among investors. The S&P 500 rose 1.5% for the week and is now up 8.6% for the year. The Nasdaq was up 1.0% for the week to bring its gains for the year to 9.3%, while the Russell 2000 (small cap stocks) increased 0.9% for the week and is now up 1.4% for the year.

• Global Equity Markets rose last week, driven by gains in Asia as investors shrugged off the change in power in Japan to push Japanese equities to new highs. Developed Markets increased 1.8% for the week and are now up 18.7% for the year. Emerging Markets were up 0.7% for the week and are now up 17.0% for the year.

• Interest rates did not move materially as investors await more inflation data and updates on tariffs as the August 1st deadline approaches. The yield on the US 10-Year Treasury dipped to 4.39% vs. 4.42% the prior week, while the yield on the 2-Year Treasury closed at 3.93% vs. 3.87% the prior week. Investors continue to believe the Fed will cut rates two times by the end of the year, with a 62% probability that the first rate cut will come in September.

• Market leadership has shifted in July, with the prior laggards leading the way. The bottom 20% of stocks in the Russell 1000 over the past year are up 4.2% so far in July, outperforming the top 20%, which have only gained 2.1% for the month. While short-term pullbacks are certainly possible, this broadening of market participation has historically been a constructive sign in the months ahead.

Market Data

for the week ending 7/25/2025