Stocks struggled to find direction after a Federal Court struck down the tariffs that the Trump administration proposed on “Liberation Day.” The ruling was reversed on appeal, but it adds another layer of complexity to an ongoing concern for investors.
Another concern is inflation. Friday’s reading of the Personal Consumption Expenditures (PCE) index showed that inflation is cooling. This raises two questions for investors. First, is this the calm before tariffs cause inflation to move higher? Second, how strong are consumers really?
The answers that companies gave this earnings season are “maybe” and “it depends on which consumer.”
