Stocks Rally on Tech Momentum
Week Ending September 12, 2025
Markets posted solid gains last week, with technology stocks once again leading the charge. Investors looked past interest rate uncertainty, downwardly revised U.S. jobs data, and mixed inflation reports as major indexes hit new milestones.
The Standard & Poor’s 500 Index rose 1.59%, the Nasdaq Composite Index gained 2.03%, and the Dow Jones Industrial Average added 0.95%. Overseas, the MSCI EAFE Index, which tracks developed international markets, advanced 1.18%. Closer to home, the S&P/TSX Composite Index climbed 1.40%, supported by strength in energy and financials.
Market Overview
Weekly Market Performance (September 8–12, 2025)
- S&P 500: +1.59%
- Nasdaq Composite: +2.03%
- Dow Jones Industrial Average: +0.95%
- MSCI EAFE (International Developed Markets): +1.18%
- S&P/TSX Composite Index (Canada): +1.40%
U.S. Markets: New Highs Amid Inflation Jitters
Stocks rose early in the week on renewed enthusiasm for artificial intelligence, lifting the Nasdaq to a record intraday high. Momentum continued Tuesday despite large downward revisions to U.S. job creation figures.
By midweek, an unexpected dip in wholesale inflation boosted investor hopes for a Federal Reserve rate cut before year-end. Thursday’s consumer inflation data came in hotter than expected but not enough to derail rate-cut optimism, helping the S&P 500 and Nasdaq log three consecutive record closes, while the Dow surged past 46,000 for the first time.
On Friday, the Nasdaq ended at another record, while the S&P 500 leveled off and the Dow slipped slightly to close the week.
Canada & the TSX
The S&P/TSX Composite Index advanced 1.40%, with gains driven by energy and financials, which offset softness in consumer and telecom stocks.
- Investor sentiment improved as expectations grew that the Bank of Canada may have room to cut rates later this year.
- Higher oil prices provided a boost to the resource-heavy index.
- Gold prices softened, weighing on materials, but overall performance remained positive
Economy Watch
Inflation data offered a mixed picture:
- Producer Price Index (PPI): Fell 0.1% in August after a 0.7% gain in July.
- Consumer Price Index (CPI): Rose 0.4% in August, faster than July’s 0.3% pace.
The Fed’s two-day meeting concludes Wednesday, September 17, with Chair Jerome Powell expected to outline next steps on interest rates. Investors will be watching closely for signals on how the Fed plans to guide policy amid sluggish job growth and sticky inflation.
Key Economic Reports: Week Ahead (September 15–19, 2025)
Tuesday, September 16
- Retail Sales
- Import Price Index
- Industrial Production
- Business Inventories
- Home Builder Confidence Index
Wednesday, September 17
- Housing Starts
- Building Permits
- Federal Reserve Interest Rate Decision
- Fed Chair Powell Press Conference
Thursday, September 18
- Weekly Jobless Claims
- Leading Economic Indicators
Corporate Earnings: This Week
Wednesday, September 17
- General Mills, Inc. (GIS)
Thursday, September 18
- FedEx Corporation (FDX)
“In times of rapid change, experience could be your worst enemy.”
– J. Paul Getty
A train moving as fast as it can go strikes a man’s hand, yet he is uninjured and the train goes off its tracks. Under what circumstances could this happen?
Last Week's Riddle: A lone pine tree stands on a cliff. The wind is blowing from the east through the mountains. Which way do the tree’s leaves blow?
Answer: Pine trees do not have leaves.
Melissa's husband, Doug, and their son, James, running the Finlayson Arm 112KM endurance race.
Footnotes and Sources
1. WSJ.com, September 12, 2025
2. Investing.com, September 12, 2025
3. WSJ.com, September 8, 2025
4. CNBC.com, September 9, 2025
5. WSJ.com, September 10, 2025
6. CNBC.com, September 11, 2025
7. CNBC.com, September 12, 2025
8. WSJ.com, September 10, 2025
9. WSJ.com, September 11, 2025
10. IRS.gov, March 30, 2025
11. WebMD, March 20, 2025
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