Second Quarter 2025 Market Newsletter

Investment Management, Markets

SHARE THIS POST

Read the full Market Newsletter HER E

EXECUTIVE SUMMARY

The second quarter was marked by sharp market volatility driven by aggressive tariffs and geopolitical tensions in the middle east. However, by the end of the quarter, stocks recovered most of their losses before making new highs.

The market’s reaction prompted the government to change trade policies later in the quarter. Tariffs are expected to settle at the highest rate since the 1930’s.

As a result of the ever-changing trade policy, there is considerable uncertainty in the economy. Companies are swinging into action, proactively restructuring their supply chains to mitigate tariff impacts. Earnings are expected to continue growing but at a slower pace than previously expected.

The Federal Reserve is in a difficult spot, having to decide between controlling prices and supporting employment. They have indicated that, depending on economic data, they will gradually lower interest rates.

This quarter showed the importance of focusing on long-term results and the futility of trying to forecast events such as trade policies or expectations of recessions.

Disclaimer

Sarsi, LLC (“Sarsi” or “the firm”) is a registered investment adviser located in New Jersey. Sarsi and its representatives are in compliance with the current registration mandates imposed on state registered investment advisers in those states where registration is required. The firm may also transact business in those states in which it maintains registration or qualifies for a corresponding exemption there from.

Use of this website is limited to the dissemination of general information regarding Sarsi’s investment advisory services offered to individuals residing in those states where providing such information is not prohibited by applicable law. Accordingly, the publication of Sarsi’s website on the internet should not be construed by any consumer as a solicitation or attempt to effect transactions in securities, or the rendering of personalized investment advice. Nothing on this website should be interpreted in any manner whatsoever as a substitute for, or the receipt of, personalized investment advice. Certain of the information contained herein may not be suitable for everyone and may be derived from external sources that are not affiliated with Sarsi. While Sarsi believes these sources to be reputable, the Firm makes no representation or guarantee as to the accuracy, timeliness or suitability, completeness or relevance of the information prepared by any unaffiliated third-party, whether linked to the website or referenced herein. All such information is provided for convenience purposes only and all users therefore should be guided accordingly. Any subsequent, direct communication with a prospective client of the Firm will be initiated by a representative whom is either registered or exempt from registration in the state in which the prospect resides.

Detailed information pertaining to Sarsi’s qualifications, business operations, fee schedule service offerings can be found in the Firm’s Disclosure Brochure which appears as Part 2A of Sarsi’s Form ADV. Additional information about Sarsi, as well as a current version of the Firm’s Disclosure Brochure, is available on the Investment Advisor Public Disclosure website which is operated by the U.S. Securities and Exchange Commission, at www.adviserinfo.sec.gov

ACCESS TO THE FIRM’S WEBSITE IS PROVIDE FOR INFORMATION PURPOSES ONLY AND WITHOUT WARRANTIES-EXPRESS OR IMPLIED-WITH REGARD TO THE ACCURACY, TIMELINESS OR RESULTS OBTAINED FROM ANY INFORMATION POSTED ON THIS WEBSITE OR ANY THIRD-PARTY WEBSITE LINKED HERETO.