The Factor Report

Market Wrap

For the week ended April 18, 2025, stocks were again mixed but higher globally. The week started out on a positive note as Technology stocks gave the market a boost after President Trump exempted a number of key areas from tariffs. Shares gave up some gains on Tuesday after he forged ahead with tariffs on pharmaceutical and semiconductor products. Wednesday brought some anxiety when Nvidia indicated they expect to take a big charge to earnings due to Chinese restrictions on semiconductor imports and Federal Reserve Chairman Powell said the central bank will keep interest rates on hold amidst concerns that tariffs will increase inflation while slowing growth. Thursday was a tale of two indexes in the US as Tech stocks rallied but United Healthcare's weak earnings and outlook dragged the Dow Jones Industrial Average lower. Markets were closed globally on Friday in observance of Good Friday. Bonds resumed their winning ways and headed higher. The 10-year US treasury yield fell to about 4.33%, according to MarketWatch.

Performance Summary

As shown in the chart, the US was a drag on the market as it delivered a negative return while International shares fared quite well. Within the US, both the Tech-heavy Nasdaq and the more traditional stocks of the Dow Jones Industrial Average beat the broader S&P 500, From a factor perspective, all factors except Quality outperformed the global All Country World Index (ACWI).

In The News

Why the Trump tax cut extensions are not a done deal.

https://www.thinkadvisor.com/2025/04/14/trump-tax-cut-extensions-are-far-from-a-done-deal/?kw=Trump%20Tax%20Cut%20Extensions%20Are%20Far%20From%20a%20Done%20Deal&utm_position=1&utm_source=email&utm_medium=enl&utm_campaign=dailywire&utm_content=20250414&utm_term=tadv&oly_enc_id=6911H2583589A7Z&user_id=3d158419d93f4751d4b3b79dd78d9abf446b89b61e92e7567cb4126b86cb53c5

A status update on Trump's tariff deals.

https://www.marketwatch.com/story/trumps-trade-war-which-countries-are-in-tariff-talks-with-the-u-s-and-what-could-come-next-6f05227b?mod=home_lead

A great piece on keeping your financial literacy sharp.

https://www.marketwatch.com/story/financial-skills-slip-as-we-age-heres-how-we-can-learn-to-stay-sharp-341a570d?mod=home_lead

Disclosures

Past performance may not be indicative of future results. Different types of investments involve varying degrees of risk. Therefore, it should not be assumed that future performance of any specific investment or investment strategy will be profitable or equal the corresponding indicated performance level(s). Moreover, you should not assume that any of the above content serves as the receipt of, or as a substitute for, personalized investment advice from Metric Financial.

All data and performance information sourced from Morningstar and MarketWatch, unless otherwise indicated.

USA is the MSCI USA index, Non-US Developed is the MSCI EAFE index, Emerging Markets is the MSCI Emerging Markets index, and All Country World is the MSCI ACWI index. One cannot invest in an index. Because the factor indexes have varying inception dates, some of the returns provided are back-tested and do not represent actual performance. Inception dates are as follows:

Momentum = MSCI ACWI Momentum NR USD Index (Inception: 11/30/95)

Value = MSCI ACWI Enhanced Value NR USD Index (Inception: 5/29/15)

Quality = MSCI ACWI Quality NR USD Index (Inception: 5/29/92)

Low Volatility = MSCI ACWI Minimum Volatility (USD) NR USD Index (Inception: 5/28/93)

Size = MSCI ACWI Risk Weighted NR USD Index (Inception: 4/6/11)

Metric Financial, LLC (“Metric”) is a registered investment adviser offering advisory services in the State of Connecticut and in other jurisdictions where exempted. Registration does not imply a certain level of skill or training. Follow-up or individualized responses to consumers in a particular state by Metric in the rendering of personalized investment advice for compensation shall not be made without our first complying with jurisdiction requirements or pursuant to an applicable state exemption.

All written content is for information purposes only. Opinions expressed herein are solely those of Metric, unless otherwise specifically cited. Material presented is believed to be from reliable sources and no representations are made by our firm as to another parties’ informational accuracy or completeness. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.