I won’t sugarcoat it – this has been a tough time for the markets.
After President Trump’s sweeping rollout of new tariffs, U.S. stocks had their worst single-day drop since the early pandemic on Thursday, April 3rd. The S&P 500 fell nearly 5%, the Nasdaq tumbled close to 6%, and the Dow dropped over 1,600 points. That was followed up by an even worse day on Friday the 4th, with the Dow, S&P 500 and Nasdaq all down around 6%. Concerns over a full-scale trade war sent global markets reeling and investor confidence took a sharp hit.
From major retailers to energy companies, few sectors were spared. At the same time, rising tariffs on auto imports and goods from countries like China, Vietnam, and the European Union are adding to some legitimate economic concerns as well. Many economists don’t expect us to hit the Fed’s 2% inflation target until 2026 or later and if inflation doesn’t moderate, the Fed may get cold feet about lowering interest rates further. Also, consumer spending is slowing- Fresh data shows Americans are tightening their belts as inflation and economic worries bite. Since consumer spending drives nearly 70% of the economy, this pullback raises real concerns.
If this all feels unsettling — that’s completely normal.
But moments like these highlight something important: You don’t need to predict market swings — you need a plan that’s built to weather them.
A thoughtful financial plan isn’t just about getting the highest returns. It’s about building a portfolio that reflects your goals and priorities. It’s also about being diversified across asset classes, sectors, and geographies, and including tools beyond just stocks to manage risk and reduce volatility.
While the headlines often zero in on the S&P 500 or Nasdaq, a well-constructed portfolio goes far beyond those indexes — and helps you stay focused on long-term progress, not short-term noise.
So what should you do right now?
It’s also worth noting that as challenging as the past few days have been, not every sector is falling. Some defensive areas like consumer staples have held up well, and bond funds have gained as the stock market has declined. This reinforces why diversification matters – because you can’t predict the future, so you need to prepare for it.
If your current strategy leaves you wondering, “Am I still on track?” — let’s talk.
I work with people who are approaching or already in retirement to create personalized plans, adapt to market cycles and help create financial confidence over the long term. If you want some advice on your situation, reach out and we can setup a conversation.
You don’t need to ride this out alone — and you shouldn’t have to guess your way through uncertain markets.
Disclosure: This commentary is for informational purposes only and does not constitute investment advice. Past performance is not indicative of future results. Individual portfolio performance will vary based on investment strategy, asset allocation, and other factors. Always consult your financial advisor before making any investment decisions.
Risk Disclosure: Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. Past performance does not guarantee future results.
This material is for information purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. The content is developed from sources believed to be providing accurate information; no warranty, expressed or implied, is made regarding accuracy, adequacy, completeness, legality, reliability, or usefulness of any information. Consult your financial professional before making any investment decision. For illustrative use only.
This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific situation with a qualified tax professional.