July 2025 Market Snapshot
Rosemeyer Management Group
July in Review
Equity markets experienced a modest advance in
the month of July. The tech-heavy Nasdaq index
posted 3.6% returns followed by the S&P 500 at
2.24%. Strong earnings reports from the
Magnificent-7 companies (17% earnings growth vs.
the 4% average) fueled July’s positive returns.
Market sentiment grew early in the month on the
heels of the passing of the OBBBA and increasing
clarity in US policy. Also, US GDP grew by 3% YoY
in Q2. This sentiment became more muted towards
month-end as weaker-than-expected jobs reports
cast doubt on the momentum of the US economy.
US equities outpaced global equities on the back of
a strengthening US-dollar and favorable trade
deals. The aggregate US bond index posted a
slight pullback amid early signs of tariffs increasing
inflation.
| Index | 1 Month | YTD |
|---|---|---|
| Dow Jones Industrial Average | 0.16% | 4.72% |
| Standard & Poor’s 500 Average | 2.24% | 8.59% |
| Russell 2000 (Small Cap Index) | 1.73% | -0.08% |
| Total U.S. Stock Market | 2.25% | 8.12% |
| MSCI ACWI ex USA (Intl. Index) | -0.29% | 17.56% |
| Barclay’s U.S. Agg. Bond Index | -0.26% | 3.75% |
Source: Morningstar
Looking Forward: What’s Ahead for Q3 & Beyond
The long-awaited trade deals became manifest in July. The month began with the announcement of a new
US trade deal with Vietnam. Then, the month concluded with the announcement of new deals with both
Japan and the European Union – two of the largest US trading partners. New investments in the US were
cornerstones of the deals along with what seems to be a baseline 15% tariff rate. Market responses were
relatively muted as it appears markets had already priced in trade deals such as these. The clarity these
deals cast on US trade policy have provided a calm to markets.
Focus now shifts to the upcoming August 7 th
tariff deadline for countries that have not negotiated deals as well as the prospects of a US-China trade deal
on the near horizon. However, tariff effects have started to impact inflation reports with June’s CPI indicating
YoY inflation ticked up to 2.7%. This prompted the Federal Reserve to hold interest rates steady for their fifth
straight meeting. Of importance, though, is the fact that two Fed Governors broke ranks and voted against
the majority for the first time since 1993.
Downwardly-revised May and June job reports as well as a
disappointing July jobs report has now sharply increased the odds of the Fed cutting rates by 25 bps at their
September meeting. Investors will watch closely as the Federal Reserve seeks to balance its dual mandate
of stable prices and maximum employment.
On a Personal Note
We give a big congrats to our Office Manager, Patti, and her husband, Lee, as
they celebrated their 25 th wedding anniversary on July 8 th . They are pictured
standing in front of St. Philip’s Catholic Church in Highland, WI, where they
were married – it is 167 years old this year! Patti also celebrated her 11-year
anniversary working for Rosemeyer Management Group this past January. She
has blessed many around her with her loyalty and devotion. We wish her and
her family continued blessings!
Rosemeyer Management Group
Licensed in CO, FL, IA, IL, MA, MN, MO, NV, NY, WA, WI, WV & TX
i JPMorgan Asset Management, August 1, 2025 ; Charles Schwab, August 4, 2025
Past performance doesn’t guarantee future results. The views and material presented in these materials were created and intended to provide background assistance and education. No product or
service is offered in connection with the dissemination of this information, and no recommendation regarding the purchase or sale of any security is made, intended or should be implied by these
materials.