* The five stocks, from largest to smallest contribution to the S&P 500 total return, were Microsoft, Broadcom, JPMorgan Chase, Palantir Technologies, and Meta Platforms.
** 524 stocks were in the S&P 500 during the period (two Alphabet share classes counted once), a small number for part of the year.
Source – RBC Wealth Management, Bloomberg; daily data through 12/31/25
STOCK
The year 2025 was dominated by President Donald Trump and tariffs, along with his constant criticism of Federal Reserve Chairman Jerome Powell. March and April of 2025 saw the S&P 500 decline from peak to trough in the mid- to high-teens. This isn’t highly unusual in markets, but the speed at which it happened was. As I’ve written before, stock values are mostly supported by earnings. During this period, investors were worried these tariffs could hurt corporate profits, add to inflationary pressures and set the stage for higher interest rates.
Eventually, things settled down and markets recovered significantly, ending the year up almost 18 percent for the S&P 500, while certain foreign markets were positive by more than 30 percent. The biggest surprise of the year was how well certain international markets did. As the dollar fell in value against other currencies, it made those overseas holdings more valuable. A weaker dollar also makes sense for an administration locked in on trying to level the playing field on trade imbalances in the U.S. This weaker dollar makes U.S. goods cheaper when exported to other countries and their goods more expensive when imported into the U.S.
* The five stocks, from largest to smallest contribution to the S&P 500 total return, were Microsoft, Broadcom, JPMorgan Chase, Palantir Technologies, and Meta Platforms.
** 524 stocks were in the S&P 500 during the period (two Alphabet share classes counted once), a small number for part of the year.
Source – RBC Wealth Management, FactSet; annual total-return data (includes dividends) through 12/31/25
Blalock Williams, LLC (Blalock Williams) is a registered investment advisor. Advisory services are only offered to clients or prospective clients where Blalock Williams and its representatives are properly licensed or exempt from licensure.
The information provided is for educational and informational purposes only and does not constitute investment advice and it should not be relied on as such. It should not be considered a solicitation to buy or an offer to sell a security. It does not take into account any investor’s particular investment objectives, strategies, tax status or investment horizon. You should consult your attorney or tax advisor.
The views expressed in this commentary are subject to change based on market and other conditions. These documents may contain certain statements that may be deemed forward looking statements. Please note that any such statements are not guarantees of any future performance and actual results or developments may differ materially from those projected. Any projections, market outlooks, or estimates are based upon certain assumptions and should not be construed as indicative of actual events that will occur.
All information has been obtained from sources believed to be reliable, but its accuracy is not guaranteed. There is no representation or warranty as to the current accuracy, reliability, or completeness of, nor liability for, decisions based on such information and it should not be relied on as such.
