00:00 Speaker A
I want to start by, you know, just asking you, listen, you are, of course, a long-time student of these of these markets, Emily. So, you saw these headlines, the Trump tariff pause, the Trump tariff reversal. This popular averages surged today, Emily, off that. Just curious what you make of all of it.
00:37 Emily
Yeah, I mean, these moves were just absolutely breathtaking today. We were actually right in the middle of our quarterly call with the advisors that we work closely with, as things were moving quickly here. Uh, and it looks like the Trump put seems to be alive and well here, uh, as it relates to markets. I think one of the most notable things you just pointed out, which is the technology sector seeing uh, outsized gains today. One of the things we’ve been talking about in terms of the cross-asset action related to tariffs is that some of the highest quality parts of the market are the ones that have gotten sold off the most. Um, obviously, there was a bit of a valuation issue with the tech space, but these are still the companies with the great, best balance sheets, the highest quality earnings, best return on equity, uh, and we really saw them being sort of the baby that was thrown out with the bathwater. Meanwhile, areas like German Industrials, European banks, Chinese tech stocks were the relative winners here, and that cross-asset performance didn’t really make a ton of sense to us. So, nice to see uh, tech seeing a very, very healthy uh, bounce today.
02:18 Speaker A
I don’t know, Emily. Listen, I know you can’t talk individual stocks, but I look at a stock like Apple, which makes most of the iPhones in China. The tariff on China is now 125%. And Apple went up a lot today. So, okay, I won’t ask you to comment on that specifically, but like, is this really do the moves in the markets make sense?
03:48 Emily
Yeah, I mean, Julie, great point. And there’s probably some indiscriminate buying today, just the way that there was some indiscriminate selling. So, it’s going to take some time here for the dust to settle. You know, we’re waiting to hear more in terms of the fundamentals and what analysts say about, you know, forward guidance here as it relates to earnings. But, you know, I think as the days progress and potentially there’s less volatility around tariff headlines and a focus on the fundamentals, a focus on earnings, we can see sort of where, you know, individual names sort of uh, you know, settle out here. So, time will tell, I think, but on a relative basis, I think finding opportunities within the technology space, uh, you know, does make some sense here.