“The stock market is a device for transferring money from the impatient to the patient.”
-Warren Buffett
Here’s what you need to know this week:
· Our advisor Brett Valentine is hosting an event in Edmond tomorrow, April 10th
· Stocks plunge and then post some of the most volatile days in history
· Markets look for a release valve
Client Appreciation Dinner & Market Update
There are still a few seats left for our client appreciation event we are hosting tomorrow, April 10th. This event will be hosted by my fellow advisor Brett Valentine at the Hilton Garden Inn in Edmond from 6:00-7:30 PM. This event is free to attend and includes a buffet and a raffle at the end of the evening, where three lucky winners will win restaurant gift cards!
Brett will also be covering the latest in market news and investment strategies for the current investment landscape. Please feel free to bring a friend if they could benefit from an advisor or are curious about our current market outlook. To register for the event and reserve your spot, click the link below:
· https://www.eternalwealthmgmt.com/events
Tarriff-ied
I want to start this week by saying that news is moving very fast and this may be out of date by the time you read this.
President Trump officially announced his tariff plan last Wednesday and the tariff rates were much higher than analysts had expected:
Stocks reacted extremely negatively to this news. The S&P 500 fell nearly 5% on Thursday and a full 6% on Friday, marking the fourth-worst two-day selloff in history[1].
Stocks fell again on Monday and Tuesday as we approached the tariff deadline. The tariffs officially went into place this morning and so far there have been very few deals made.
The stock selloff is not isolated to the US. Every major stock exchange is now in the red since Trump’s inauguration, although US stocks are still among the worst performers:
Additional tariffs have been imposed since the initial announcement as well. The most draconian measures have been applied to China, who’s tariff rate has risen to 104%. China has responded by applying 84% tariffs to American goods[2].
Treasury yields have also risen dramatically this week, indicating a selloff in bonds. Treasury Secretary Scott Bessent has repeatedly said that one of the main goals of this tariff plan is to drive yields down in order to refinance US government debt at lower rates. So far this has not been the case.
Looking Ahead
Now let’s take a breath for a moment. Yes, this has been a historically bad week for stocks. Bonds are no longer providing the safe haven that many investors expected. However, things can rarely move this far this fast without something changing. On Monday a reporter misquoted White House economic advisor Kevin Hassett saying that Trump was considering a 90-day pause on tariffs. Stocks rose eight percent in less than five minutes, but Hassett made clear that he was misquoted and stocks ended up closing the day in the red.
This shows how desperate the market is for any sign of good news and are coiled like a spring. If we get any kind of deal cut with China and our other large trade partners then stocks will likely instantly surge. In fact, large drawdowns like this have usually portended large gains over the following twelve months:
There will likely be more volatility in the coming weeks. These are the market moments that can make or break a financial plan, and this is when it is most important to keep a level head and stick to your plan. Markets have always rebounded and they will again, the losing move is to panic and miss the rebound. Hang tight.
What Else
· The Consumer Price Index (CPI) report for March will be released tomorrow morning; analysts expect annualized inflation at 2.6%
· President Trump is set to meet with Iranian leaders this Saturday to negotiate a deal regarding Iran’s nuclear program
· Combat has returned to Gaza as Israel and Hamas have been unable to agree to terms of a ceasefire
· The price of gold has fallen nearly 10% in the last week
· The Florida Gators defeated the Houston Wildcats in the men’s college basketball national championship
What We’re Reading
According to scientists, dire wolves have been extinct for more than 13,000 years. However, a team of researchers at Colossal Biosciences claims to have retrieved the genes from fossilized dire wolf remains and have gene edited gray wolf embryos to create the first new dire wolves in thousands of years. Click below to read how they did it and to see pictures of the dire wolf puppies:
· https://www.nytimes.com/2025/04/07/science/colossal-dire-wolf-deextinction.html?unlocked_article_code=1.-U4.cdzu.2yeZH6x8_1yC&smid=url-share
What’s Happening Downtown
The OKC Farmer’s Market will return to Scissortail Park this Saturday, April 12th. The market features dozens of local vendors selling produce, meats, cheeses and other goods. Unlike last Saturday, this week’s weather forecast looks perfect! Click below to learn more:
· https://www.scissortailpark.org/events/saturday-farmers-market-2025-season/?occurrence=2025-04-12&time=1744448400&mc_cid=c6e02280a8&mc_eid=71bf387036
To read more from our blog, click here
Written by: Kane Ogle, CFP®
Steve Beck, Kane Ogle, CFP®, Amber Eduvigen, CFP®, Cale Olbert, CFP®, Brett Valentine, Brandon Ingerson, Jenni Hess
Sources: [1] Yahoo! Finance [2] Bloomberg