On Monday, March 3, the stock market experienced its worst drop of 2025, prompted by President Trump’s announcement that new tariffs on imports from Canada and Mexico would take effect immediately1.
The S&P 500 fell 1.8%, the Dow dropped 650 points, and the Nasdaq declined 2.6%2. Below is the market’s closing summary from Monday, March 3.
On Tuesday morning, the market continued to slump.
These events have stirred concerns about a potential trade war, inflation and depressed economic growth, leaving many individuals and families wondering how this may impact their financial or retirement outlook.
It’s important to remember that market fluctuations are a normal part of investing.
While these shifts can feel unsettling, your retirement plan should be designed to weather volatility and safeguard your goals.
At Promontory Financial Planning, our long-term, diversified strategies focus on helping minimize risks during times of uncertainty, and history shows that markets tend to recover from short-term disruptions.
We’re actively monitoring the situation and making adjustments when necessary to help preserve your portfolio. Whether through rebalancing or diversification, our priority is to help ensure you stay on track with your retirement objectives.
If you have any concerns or would like to discuss how this might impact your plan, we’re here to help.
Staying focused on the bigger picture is key, and we’re here to guide you through every step of your financial journey.
Source:
Associated Press. “U.S. stocks tumble as Trump tariffs take effect on Canada and Mexico.” AP News, March 4, 2025. https://apnews.com/article/stocks-markets-china-rates-inflation-72339ddf1ecb65d7815f4bb5272197d7. Accessed March 4, 2025.
Nasdaq.com. “S&P 500 Suffers Worst Day of 2025 as Tariff Deadline Nears.” March 03, 2025. https://www.nasdaq.com/articles/sp-500-suffers-worst-day-2025-tariff-deadline-nears. Accessed March 4, 2025.