Download our Estate Planning Guide

Credit markets have made the headlines but despite a smattering of defaults, the broader picture remains reassuring.

The US Supreme Court began hearings this week on whether the Trump-era tariffs imposed under the International Emergency Economic Powers Act (IEEPA) were lawful. While the case has attracted significant political and legal attention, we believe the practical implications for US trade policy and markets are likely to be limited.

After reaching multi-month highs earlier in the week, global equity markets have paused rather than surged further. US equities rose as much as 2% during the week hitting another all-time high but faded to just 0.5% up by Thursday’s close.

So, what have been the main drivers of market dynamics this week?

Global equity markets continued climbing this week, with the US, European, and Asian markets each registering gains of 1–2%. Yet beneath this broad-based improvement, notable volatility emerged in a subset of assets popular with non-professional investors, particularly in gold, thematic stocks, and crypto currency.

It’s been a topsy-turvy week for markets. After a long stretch of relative calm, this week saw the highest volatility since April. Headlines swung from renewed trade tensions between the US and China to strong earnings from major banks, followed by renewed jitters around US regional lenders.

What moved markets over the quarter? Resilient economic data and the easing of trade tensions helped push global equity markets upwards in the third quarter of 2025. Central banks cutting interest rates, or signalling their intention to lower rates, was another theme that supported equity markets.