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Markets Navigate Economic and Policy Uncertainty in February – Stocks and Bonds Move in Opposite Directions Amid Market Rotation.

There was no shortage of market-moving events during a very active fourth quarter. The stock market opened the quarter with a slow start in October, but the outcome of the presidential election triggered a broad rally in November. The rally faded as the year ended, although the S&P 500 was only a few percentage points below its all-time high. The bond market was equally active in the fourth quarter, with the Federal Reserve cutting rates by another 0.50%, bringing the sum of rate cuts in 2024 to 1.0%.

The election is over, and global markets are analyzing the outcome and starting to adjust portfolios. Republicans are set to control the White House, Senate, and House, but the results are also notable for a historical reason: the president-elect, Donald Trump, is returning to office after a previous election loss—a rare political comeback not seen since Grover Cleveland in 1892. As a result, investors are looking to Trump’s first term as a roadmap for how his next administration’s policies may impact markets.

The election is over, and global markets are analyzing the outcome and starting to adjust portfolios. Republicans are set to control the White House, Senate, and House, but the results are also notable for a historical reason: the president-elect, Donald Trump, is returning to office after a previous election loss—a rare political comeback not seen since Grover Cleveland in 1892. As a result, investors are looking to Trump’s first term as a roadmap for how his next administration’s policies may impact markets.

Stocks moved higher this past week, with most gains occurring in the post-election period. The S&P 500 hit a new record, approaching the significant 6,000 level, as investors priced in expectations for the incoming administration’s pro-growth, reflationary policies. Small caps led the advance, followed closely by growth and high-beta stocks.

BAILEY FINANCIAL GROUP MARKET COMMENTARY November 6, 2024 Download Market Commentary Important Disclosures: Wells Fargo Advisors Financial Network did not assist in the preparation of this report, and its accuracy and completeness are not guaranteed. The opinions expressed in this report are those of the author(s) and are not necessarily those of Wells Fargo Advisors

BAILEY FINANCIAL GROUP MARKET COMMENTARY October 23, 2024 Download Market Commentary *Source: Standard & Poor’s and WhiteHouse.gov Important Disclosures: Wells Fargo Advisors Financial Network did not assist in the preparation of this report, and its accuracy and completeness are not guaranteed. The opinions expressed in this report are those of the author(s) and are not

BAILEY FINANCIAL GROUP MARKET COMMENTARY September 25, 2024 Download Market Commentary Important Disclosures: Wells Fargo Advisors Financial Network did not assist in the preparation of this report, and its accuracy and completeness are not guaranteed. The opinions expressed in this report are those of the author(s) and are not necessarily those of Wells Fargo Advisors Financial