This Weekly Financial Markets Update reviews the top market headlines: New Automobile Tariffs Announced, PCE Price Index Signals Stable Inflation, Home Prices Rise Again in January
  • The U.S. imposed 25% tariffs on global automotive imports
  • The Personal Consumption Expenditures Price Index rose at a 2.5% annual pace in February
  • The S&P CoreLogic Case-Shiller 20-City Composite increased 4.7% annually in January

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Top Three Market Headlines

New Automobile Tariffs Announced: Tariffs took center stage again last week as the Trump administration declared a new 25% tariff on imported automobiles, light trucks, and parts, scheduled to take effect April 3. The latest salvo follows previous tariff impositions by the U.S. on goods from Mexico, Canada, and China, and comes amid the initiation this week of so-called reciprocal tariffs on products from various countries. The surprise announcement on auto tariffs rattled global automotive stocks, with shares of GM and Stellantis each losing more than 5% on the week.

PCE Price Index Signals Stable Inflation: The U.S. Bureau of Economic Analysis reported last week that the Personal Consumption Expenditures (PCE) price index, the Federal Reserve's preferred inflation indicator, rose 0.3% in February from the prior month and 2.5% on a year-over-year basis, both unchanged from January. The annual rate has been rangebound between 2.5%-2.6% over the last four months. On a "core" basis (excluding food and energy), prices rose 0.4% on the month, up modestly from 0.3% in January, while the annual pace ticked up to 2.8% from 2.7%.

Home Prices Rise Again in January: U.S. home prices advanced further in January, according to the S&P CoreLogic Case-Shiller indices released last week. The 20-City Composite, representing the 20 largest U.S. metropolitan areas, rose 0.5% on the month and 4.7% compared to the prior year, the latter increasing from 4.5% in December. This was the third straight month the annual rate accelerated after having decelerated throughout most of 2024. Across the country, 19 of 20 cities saw higher prices versus last year, led by New York (+7.8%) and Chicago (+7.5%); Tampa was the only metro region where prices fell (-1.5%).

As of March 28, 2025 Week Quarter-To-Date Year-To-Date One-Year
MSCI All Country World -1.36% -1.01% -1.01% 7.55%
S&P 500 -1.52% -4.81% -4.81% 7.64%
Russell 2000 -1.62% -9.02% -9.02% -3.52%
MSCI EAFE -1.05% 9.11% 9.11% 7.20%
MSCI Emerging Markets -0.87% 4.73% 4.73% 10.29%
FTSE NAREIT Equity 0.82% -0.07% -0.07% 8.87%
Bloomberg Commodity 0.54% 8.22% 8.22% 11.60%
Bloomberg U.S. Aggregate -0.04% 2.54% 2.54% 4.64%

Wall Street Journal 3/27/25, Reuters 3/27/25, Bureau of Economic Analysis 3/28/2025, S&P Global 3/25/2025. Data from Morningstar Direct. Returns for periods greater than one year are annualized. Investment advisory, named and independent fiduciary services are offered through Gallagher Fiduciary Advisors, LLC, an SEC Registered Investment Adviser. Gallagher Fiduciary Advisors, LLC does not express an investment opinion regarding any specific commodity, sector or individual security. Unless otherwise expressly noted, the contents of this communication do not constitute securities or investment advice, nor should this communication be construed as an opinion regarding the appropriateness of any investment. Gallagher Fiduciary Advisors, LLC is a single- member, limited-liability company, with Gallagher Benefit Services, Inc. as its single member. Neither Arthur J. Gallagher & Co., Gallagher Fiduciary Advisors, LLC nor their affiliates provide accounting, legal or tax advice. The information provided cannot take into account all the various factors that may affect your particular situation, therefore you should consult your Gallagher Fiduciary Advisors consultant before acting upon any information or recommendation contained herein to discuss the suitability of the information/recommendation for your specific situation.