Beyond the Headlines: A Look Into July’s Market
We hope your summer is treating you well—with just the right balance of sunshine, rest, and moments of joy. Whether you’re traveling, enjoying a slower pace, or staying in the A/C like me, we wanted to share a quick look at what’s been happening and what we’re keeping an eye on for the months ahead.
Markets Push Higher in Q2
The second quarter delivered strong returns across major U.S. indexes. The S&P 500 closed out June with an 8% gain for the quarter, while the Nasdaq and Dow also posted solid results. Much of this performance was powered by continued enthusiasm for AI, strong corporate earnings, and cooling inflation. While large-cap tech stocks continued to lead the charge, we began to see broader participation from sectors like industrials, financials, and energy.
Themes We’re Watching for the Second Half of 2025
These are a few key themes we’re tracking because they have the potential to influence both short-term market behavior and longer-term economic trends. While no single factor drives the market, together they can help us anticipate opportunities or risks that may affect portfolio positioning and financial planning decisions:
The pace of disinflation – Continued improvement in inflation may open the door for the Fed to begin lowering rates, which could support both stocks and bonds.
Consumer strength – The back-to-school season will provide insight into how confident and resilient consumers are in the face of higher borrowing costs.
Broader corporate earnings – We’re watching to see whether earnings growth spreads beyond tech into sectors like healthcare, industrials, and energy.
Global growth – Sluggish recovery in China or persistent inflation in Europe could impact global supply chains and investor sentiment here in the U.S.
Staying Focused
Markets may fluctuate, but your long-term financial plan is designed to withstand changing conditions and support your goals through all seasons. Whether the second half of the year brings more growth or new uncertainties, we’ll continue to monitor developments closely and adjust as needed.
As always, we’re here if you’d like to revisit your plan or simply talk through what’s happening in the markets.
Thank you,
The Middlebrook Wealth Team
References
Reuters, Trading Day: Ending first half on a record high note https://www.reuters.com/world/americas/global-markets-trading-day-graphic- 2025-06-30/
Advisory services offered through NewEdge Advisors, LLC, a registered investment adviser. Securities offered through NewEdge Securities, LLC. Member FINRA/SIPC. NewEdge Advisors, LLC and NewEdge Securities, LLC are wholly owned subsidiaries of NewEdge Capital Group, LLC.
The information in this material is not intended as tax or legal advice. Please consult your legal or tax professionals for specific information regarding your individual situation. 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.
