For the week ending August 1, 2025.

Investment markets took a hit, driven by a weaker-than-expected U.S. jobs report on July 31, 2025, which showed only 73,000 jobs added in July, missing the 100,000 forecast, alongside downward revisions for prior months. This, combined with the announcement of steep new tariffs on major trading partners, sparked a sell-off, with the S&P 500 dropping 2.4%, hardly catastrophic, but still one of its worst weeks since April. Treasury yields rose, with the 7-year note auction hitting 4.092%, reflecting expectations of tighter policy. Crude oil prices faced pressure after a surprising 7.698 million barrel inventory build, while gold and other safe-haven assets saw modest gains as investors grappled with economic uncertainty and awaited clearer signals from the Federal Reserve on interest rates.

U.S. Stock Market

U.S. stocks took a beating across all style boxes. Large cap core stocks fell 2.41%, with large value stocks dropping harder at 3.06%, reflecting investor caution toward economically sensitive sectors. Large growth stocks held up slightly better, down 1.88%, buoyed by tech resilience. Mid cap stocks struggled, with the core index down 3.52%, mid value sinking 4.12%, and mid growth losing 2.99%. Small caps fared worse, with the core index dropping 3.94%, small value plummeting 4.86% as investors shunned riskier assets, and small growth declining 3.22%. The weak jobs data and tariff fears hit smaller, domestic-focused companies hardest.

U.S. Market Sectors

Sector performance was mostly grim. Materials got crushed, down 6.12%, as trade worries slammed commodity-heavy industries. Financials dropped 3.82% and industrials fell 3.39%, both rattled by economic slowdown fears. Healthcare and consumer discretionary each shed around 3.9%, reflecting uncertainty about consumer spending and policy risks. Energy held up better, down just 1.73%, despite the crude oil inventory spike weighing on prices. Technology, a usual safe haven, matched large growth at a 1.88% loss, while consumer staples dipped 1.64%, showing defensive sectors weren’t immune. Utilities were the lone bright spot, up 1.51%, as investors sought stability in reliable dividend payers. Telecommunications slipped 1.74%, less battered than most.

International Markets

Global markets didn’t escape the turmoil. MSCI Europe dropped 4.42%, hit hard by tariff threats and fears of weaker U.S. demand. MSCI Pacific fell 1.77%, cushioned slightly by regional strength, while MSCI Emerging Markets Latin America lost 2.48%, stung by commodity price dips and trade jitters.

Bonds

U.S. Core TR Bonds gained 0.70%, benefiting from a flight to safety as stocks tanked. High yield bonds, riskier by nature, fell 0.71%, reflecting the market’s risk-off mood. International bonds took a hit, down 1.39%, pressured by global trade concerns and a stronger U.S. dollar, which jumped 1.40% as a safe-haven currency.

Commodities & Currencies

Commodities had pockets of strength. Gold rose 0.56%, a go-to safe haven as markets wobbled. Broad commodities eked out a 0.40% gain, supported by selective demand, though energy markets lagged due to the crude oil glut.