The Week in Review

Weekly Market Recap: U.S. and Canada

Anyone else feeling like this week was a breath of fresh air? After weeks of decline, the markets rebounded sharply across the board. Tech stocks were the clear winners, but even the broader market did well, offering a bit of relief to portfolios that have been under pressure lately. All that said, it was an incredibly volatile week.

In terms of numbers, the Nasdaq 100 jumped 7.43%, leading the rally with its best weekly gain in months. The S&P 500 climbed 5.70%, and the Dow Jones wasn’t far behind with a 4.95% rise. The TSX also joined the party, albeit more modestly, finishing up 1.78%. It’s been a while since we’ve seen a week like this — and honestly, it probably couldn’t have come at a better time.

Major Economic Stories

The dominant theme this week was easing U.S. inflation. Both consumer and producer prices cooled, a welcome sign that pricing pressures might finally be stabilizing. But it’s not quite as simple as first glance might suggest, so let’s take a closer look.

U.S. Inflation Cools More than Expected

Consumer inflation cooled more than expected in March, coming in at 2.4%.

This is a material shift from months of persistent inflation, led largely by falling energy and transportation costs. A surprise monthly decline in CPI adds weight to the argument that price pressures may finally be easing.

• Headline inflation dropped to 2.4%, the lowest since September

• Gasoline prices fell 9.8%, fuel oil dropped 7.6%

• Core CPI eased to 2.8%, the lowest since March 2021

• Monthly CPI fell 0.1%, the first decline since May 2020

• Read the Full Release

Core Inflation at a 4-Year Low

Core inflation eased to 2.8% in March, falling below market expectations.

Slower price growth in shelter, used cars, and transportation services contributed to the decline. Though it's a step in the right direction, inflation in some sticky categories remains elevated.

• Shelter inflation eased to 4.0% from 4.2%

• Transportation services inflation dropped to 3.1%

• Monthly core CPI rose just 0.1%

• Apparel and used car prices also decelerated

• Read the Full Release

Basic Production Prices Fall Unexpectedly

Producer prices fell in March, breaking the upward momentum seen earlier this year.

The sharp decline was driven by weakness in fuel and food inputs, with additional softness in services. This supports the broader view that upstream inflation pressures are losing momentum.

• PPI dropped 0.4% month-over-month

• Gasoline prices plunged 11%

• Yearly core PPI slowed to 3.3% from 3.5%

• Services prices fell 0.2%, led by vehicle wholesaling

• Read the Full Report here.

Key Takeaways From this Week’s Economic News

Inflation: A Win — But Will Tariffs Ruin It?

This week’s U.S. inflation reports finally gave markets something to cheer about. Headline CPI fell to 2.4%, and core inflation cooled to a four-year low of 2.8%, a clear shift from the sticky, persistent price pressures we've seen over the last year. What stood out wasn’t just the lower numbers — it was how widespread the easing was. Energy prices tumbled, transportation costs came down, and even typically stubborn categories like medical services and shelter posted slower gains.

But before we celebrate a policy victory, there’s a storm on the horizon. Food prices are still inching higher, and shelter costs remain a big contributor. More importantly, the timing of this positive data couldn’t be more precarious, coming just as President Trump ramps up a sweeping new round of tariffs, particularly targeting China. Those tariffs will raise import costs across a wide range of consumer and industrial goods, and it’s pretty much a no-brainer to believe we’ll see more pressure in the months ahead.

So while this report gave the Fed some breathing room — and markets a moment of optimism — that window may be narrow. If tariffs begin to filter through supply chains, we could see inflation reverse course just as it was finally cooling. Rate cut hopes aren't off the table, but if inflation reaccelerates because of trade policy, the Fed might be stuck on hold longer than anyone wants.

Producer Prices Signal Upstream Relief

The Producer Price Index falling by 0.4% might not make headlines on its own, but beneath the surface, it tells an important story. Prices fell across the board, not just in energy, but in food, transportation, and services as well, a sign that inflationary pressures may finally be cooling at the wholesale level. It’s the first real drop in producer prices in six months, and it nicely complements the softer CPI data we got earlier in the week.

What stood out most was the weakness in services, which are often considered a more “sticky” segment of inflation. These categories tend to move slowly and reflect structural pricing trends, so seeing them decline suggests that cost pressures may be easing more broadly throughout the economy. For central bankers, this is exactly the kind of signal they want to see: slowing input costs that could filter into lower prices for consumers down the line.

But here’s the catch — just like with consumer prices, the good news may be short-lived. The latest PPI data came in before Trump’s newest round of tariffs took effect, including major hikes on steel, aluminum, and other key industrial imports. We’re already seeing early signs of pressure: steel prices spiked 7.1% in March, and that could just be the beginning. If tariffs spread further into manufacturing inputs, we could see producer prices rebound quickly, and that would undo the progress we’re finally seeing on inflation.

A Tariff Pause, but for How Long?

Putting aside the manner in which it was introduced, the markets loved Trump’s 90-day tariff pause, but I can’t help thinking: was this just a temporary pressure release? The president's post on social media saying “this is a great time to buy”, followed hours later by the official announcement, felt almost too conveniently timed. Stocks soared, and investors cheered, but the underlying uncertainty hasn’t gone anywhere.

The truth is, this isn’t a policy shift - it’s a delay. The pause excludes China, which is still facing steep 145% tariffs, and the threat of escalation remains real. It’s very possible that by the time I’m finished writing this newsletter, the playing field will have changed again. If anything, though, this moment shows how reactive markets are to a single decision. For now, we’ve caught a break. But this story is far from over, and the risk of renewed volatility is very much alive. Fasten your seatbelts.

THIS WEEK’S POLL QUESTION
(Results in Next Week’s Newsletter)

The lead story below questions whether we’re seeing the beginning of a massive realignment of the global trade order. It’s one thing to be upset with what’s going on today, but does that mean we’re seeing an end to an 80-year norm?

Please weigh in with your thoughts.

LAST WEEK’S POLL RESULTS

Well, this one was never in doubt! A full 84% of voters this week say the U.S. is headed for a recession. Opinions will obviously be influenced by the latest tariff news, so I suspect this result would also fluctuation week to week depending upon the latest updates. Thanks to everyone who voted!

Comments of the Week

🏛️ Yes

“I think Trump is unable to think rationally or just enjoying the power of presidency at the expense of people around the world. He doesn’tt seem to care the impact of tariffs. Even if the tariffs are temporary or a strategy to get what he wants, people outside the U.S. are truly mad and they are doing whatever they could do to hurt the U.S. economy. Although the power of an individual is small, it is going to be a huge power if we unite. The U.S. has completely lost its trust, and our anger would last until long after the tariffs are lifted.” - tochitocchi

“This is all about Trump’s ego at a time when the US empire is failing and self destructing under rapidly increasing debt and unrealistic deficits.” - keenrg

“The U.S. President, his administration and other enablers either don’t have a clue what they’re doing OR they know and they’re intentionally destroying the largest and strongest economy in the world. Kind of a lose-lose situation if you ask me.
I hope Canada and other impacted countries stay strong, eg. no knee bending to the narcissist in chief. I’ve said it before and I’ll say it again, stock market aside, I’ve never been more bearish my country. We’re an embarrassment and deserve whatever we have coming. Incredibly sad and infuriating!” - callawayguy

“President Trump and his advisers would not have passed an economics class never mind a basic math class!” - tomkieselbach446

“Less demand for US goods compounded with higher prices putting downward pressure on consumer spending will lead to a US recession, I think.” - jennteskey

“People will slow down their spending big time being worried about their jobs and increase cost of living.” - jean-claude.bertrand

CHANGING OF THE GUARD?
Trump’s Tariffs Disrupt Global Trade Order  

• Trump imposes sweeping tariffs, triggering backlash from China

• China counters with its own tariffs and export restrictions

• Analysts say U.S. unpredictability is shifting global alliances

• Countries may increasingly align with China for stability

We’ve all been captivated by the day-to-day (or hour-to-hour) news that is springing out of the White House when it comes to global trade, but that shouldn’t outshine what is possibly a much bigger issue. The global economic order is being shaken by President Trump’s aggressive tariff strategy, and I’m more concerned that this may be heralding in the end of the U.S.-led system that’s dominated the last 80 years.

A blanket 10% global tariff and a targeted 145% tariff on Chinese imports have set off an escalating trade war. China, in response, has launched steep countermeasures and restrictions on critical exports like rare earths, spurring fears of long-term fragmentation in global trade alliances.

Asia Gains While U.S. Alienates Allies

Whether by design or incompetence, Trump’s trade posture has left traditional allies scrambling. Countries like Vietnam and South Korea, previously courted by the U.S., are now considering deeper ties with China, which has spent years building influence via its Belt and Road Initiative.

Cameron Johnson, a Shanghai-based consultant, says that this shift may entrench China as the central hub for future global supply chains.

He says that nobody, at least in his region, feels the U.S. has shared values with them any longer.

Europe and Canada Walk a Fine Line

Over in Europe, leaders are cautiously reopening dialogue with China, even though the past is riddled with trade disputes. On a phone call on April 8, Chinese Premier Li and EU Commission President Ursula von der Leyen emphasized the need for stability, though tensions remain over electric vehicle tariffs. Canada is weighing its own stance. Prime Minister Carney signaled caution in aligning too closely with Beijing, but observers like York University’s Gregory Chin argue Canada would be “foolish to ignore” China in a multipolar world.

Read the Full Story here.

FIXED INCOME
Bond Market Jolted by Tariff Chaos

• U.S. Treasuries sold off amid rising trade tensions

• Some suspect China may be quietly dumping U.S. bonds

• Rising yields could raise borrowing costs across the economy

• Market confidence in Treasuries as “safe assets” is shaken

A story that is making the headlines, but is far less understood by the masses, is that the U.S. Treasury market, which has long been viewed as a safe haven in turbulent times, took a rare hit this week. Yields spiked sharply across maturities, with the 30-year bond temporarily crossing 5%. Not surprisingly, the sudden selloff came right after Trump’s announcement of aggressive new tariffs, with China responding in kind, sparking speculation that Beijing might be retaliating by reducing its massive U.S. bond holdings.

Domestic and Foreign Selling Pressure

Analysts are mixed on the cause of this. Some suspect China’s hand in the Treasury dump, while others believe domestic investors drove the selloff. Hedge funds and private equity firms likely sold bonds to raise cash, cover margin calls, or rebalance amid market turmoil.

Treasuries Lose “Haven” Status

The big story of all this, with the biggest implications, is the erosion of confidence in Treasuries. Rising yields will increase borrowing costs for mortgages, government debt, and corporate lending. And unlike equities, bonds are supposed to provide safety. If volatility continues, the Fed may be forced to step in — perhaps a repeat of its emergency actions from the COVID-19 bond market meltdown in 2020.

Read the full story here.

TARIFF IMPACT
An Interview with Ed Yardeni

I spent 30 minutes this week listening to Patrick Sommerville, Senior Partner and Co-President at Hamilton ETFs, in conversation with Wall Street strategist Ed Yardeni—and it was time very well spent.

If you’ve been trying to make sense of the rising tensions and uncertainty around the global tariff war, this is the interview you don’t want to miss. Ed Yardeni breaks it all down—what’s happening, why it matters, and where it could lead—with clarity and sharp insight.

🎥 Watch the video here—especially if the headlines are starting to feel like noise. This one cuts through it.

INFLATION
Tariff Risks Overshadow Cooling Producer Prices

• Producer prices dropped 0.4% in March, defying expectations

• Steel and metals prices surged as tariffs kicked in

• Economists warn disinflation could reverse under new trade policy

• Some services and core costs already show signs of re-acceleration

In the economic recap earlier in this edition, I included this week’s U.S. PPI release. Wholesale inflation cooled in March, a positive signal just before Trump’s new tariffs took effect. The Producer Price Index declined 0.4% month-over-month, and that’s the first such drop in nearly half a year. We saw lower fuel and food costs driving the headline number down, and core inflation, which excludes the more volatile items, also came in softer than expected. So that’s the good news. But, economists are saying the timing couldn’t be worse, with new tariffs poised to reignite pricing pressures.

Tariffs Begin to Push Up Metals Prices

Even within this “cool” inflation report, warning signs are flashing. Steel prices popped 7.1% in March, the largest jump since 2021. That coincides with the implementation of Trump’s 25% tariff on steel and aluminum imports. If tariffs expand further, we could see the disinflationary trend reverse, especially in categories that rely heavily on imported inputs.

Positive Data, But Uncertain Outlook

For the most part, economists agree the March PPI report was encouraging on its own, but now the outlook has become far murkier. Core services prices, often sticky, showed modest declines, a sign of weakening business demand. With global supply chains potentially under strain again, the risk is that producer costs will rebound in the months ahead.

Read the Full Story here.

INSIDER TRADING?
Trump’s Social Media Tip Raises Ethics Alarm

• Trump posted stock-buying advice hours before tariff news

• Markets surged, benefiting those who acted on his tip

• Trump Media shares jumped over 22% on the day

• Lawmakers and ethics experts call for investigations

As I noted in a previous story, President Trump posted a bullish message on his Truth Social platform this week — “THIS IS A GREAT TIME TO BUY!!! DJT” — just four hours before announcing a 90-day pause on most tariffs. The post sent markets soaring, with the S&P 500 recovering $4 trillion in value and Trump Media stock gaining 22.67%. Now, a number of critics are arguing that the timing could amount to unethical market manipulation, especially since Trump’s family has a direct financial interest in the company.

Well-Timed or Well-Planned?

Trump’s initials “DJT” also serve as the ticker symbol for his media company, and it raises speculation over whether the post was promoting the market in general or his own stock. A White House spokesperson insisted the President was simply offering reassurance, but former ethics lawyer Richard Painter has a warning.

He says Trump “.. better be careful.” The timing has drawn criticism from lawmakers like Sen. Adam Schiff, who asked, “Did anyone buy or sell stocks, and profit at the public’s expense?”

Market Influence, Minimal Oversight

Ok, so the Trump post has sparked growing outrage, but it's unclear if there will be any legal consequences. Trump’s defenders argue that as president, market commentary is part of his role. (I would argue that the Supreme Court confirmed that last year.) But legal scholars note that previous administrations would likely have faced formal inquiries for a similar move. “He’s sending the message that he can manipulate the market with impunity,” said Kathleen Clark, a Washington University ethics expert. The story further blurs the line between public duty and private influence. In my very humble opinion, it’s a sad day for market integrity.

Read the Full Story Here.

OTHER NEWS FROM THE PAST WEEK

Travel to the U.S. Is Tanking
Rising hostility, complex visa processes, and economic uncertainty are all contributing to a steep drop in foreign travel to the U.S., threatening tourism jobs and regional economies already on edge.

Dictatorships Are Becoming Republican Role Models
This long-read explores a disturbing shift in U.S. political rhetoric, where some Republican leaders increasingly reference autocratic regimes as positive models, raising concerns about democratic backsliding in America.

Math Prodigy Tackles Crypto Crime
A 19-year-old math genius is now a key figure in cracking cryptocurrency fraud in the U.S. This feature dives into his rise and how math is becoming a powerful enforcement tool.

How Much a Made-in-USA iPhone Costs
Relocating iPhone production to the U.S. would push retail prices above US$3,500, according to some new estimates. Labor and logistics would be the biggest drivers of this massive increase in cost.

Donald Trump Is Wall Street’s Frankenstein
A fiery opinion piece argues that billionaires helped build Trump’s political rise — and now face the consequences. The piece explores how corporate interests may be clashing with his chaotic economic strategy.

Tax Credits Canadians May Miss
Canadian tax experts say many people overlook valuable credits each year. This article highlights key 2025 claims ,including digital news, climate incentives, and caregiver supports, that could boost refunds.

Back in the early 2000s, Broadcom's co-founder, Henry Nicholas, was known for more than just his tech innovations. He allegedly built a secret underground "man cave" beneath his mansion in Laguna Hills, California. This wasn't your typical basement—it reportedly featured hidden passageways, a fully stocked bar, and even an underground basketball court. The lair became infamous when Nicholas faced legal troubles, including accusations of using the space for wild parties involving illicit substances. While the tech world knew him for semiconductors, his subterranean escapades added a whole new layer to his legend.

Market Movers

S&P 500 Returns | Week At-a-Glance

TSX Returns | Week At-a-Glance

Top 10 Weekly Gainers

Top 10 Weekly Losers

10 Most Overbought Stocks

10 Most Oversold Stocks

The Relative Strength Indicator (RSI) can provide a signal that suggest a stock is either overbought or oversold.
📈A stock that has an RSI over 70 is considered to be in “overbought” territory. This might suggest that the stock is due for a pullback, however it is not a recommendation to sell.
📉A stock that is trading with an RSI below 30 is considered to be in “oversold” territory. This might suggest that the stock is due for a recovery, however it is not a recommendation to buy. Always perform your own due diligence.

Visit our YouTube Channel
Sign up for Pulse (Free)
Our Website
Comments and Feedback