The first month of the fourth quarter is in the books. During October, capital markets rallied despite macroeconomic headwinds, with equities, bonds, and tech leading gains amid rate cuts and easing inflation.

Inflation is showing signs of easing, giving the Fed potential room to adjust interest rates. But with employment trends shifting and markets reacting, the coming months will be critical for the broader economy and investors alike.

Markets rebounded after a volatile week driven by U.S.-China trade tensions and ongoing government shutdown concerns. While President Trump hinted at potential new tariffs, China signaled readiness to endure them, easing some market fears. Despite political theater in Washington, the market continues to climb, with the Dow, S&P, and Nasdaq showing gains. Investors are reminded to maintain well-diversified portfolios, stay mindful of valuations, and keep an eye on debt and deficit levels as potential volatility factors.

Take a closer look at how everyday conversations and real-world data points can reveal shifts in the broader economy. From local business insights to national consumer trends—like Americans cooking at home more often—these indicators highlight how inflation and changing spending habits may be shaping the economic landscape.

In Q3, equity markets posted strong gains, with the S&P 500 up 8% and the Nasdaq hitting record highs, led by NVIDIA’s $4 trillion milestone. Small caps outperformed, growth led value, and emerging markets saw double-digit gains, while developed international markets lagged. The Fed cut rates for the first time since 2024, inflation pressures remain, and wealth concentration continues to drive an uneven economy. Despite political gridlock and a government shutdown, markets remain resilient, and investors are balancing elevated U.S. valuations with growing interest in international opportunities and inflation hedges.

The market’s rapid climb in 2025 has many investors recalling the late-1990s tech bubble. This article explores why market cycles often “rhyme,” the risks of overconcentration in popular stocks, and the importance of trimming gains to maintain balance. It highlights practical steps—like diversification, rebalancing, and tax-loss harvesting—and explains how Innovative Asset Advisors Group partners with clients and their CPAs to align investment moves with tax strategy.

August’s Personal Consumption Expenditures (PCE) data shows inflation rising slightly, from 2.85% to 2.91% over the past year. While this uptick is modest and does not signal runaway inflation, it keeps the Fed focused on balancing economic growth with its inflation target. Meanwhile, second-quarter GDP growth was revised upward to 3.8%, marking the fastest expansion in two years. With inflation stubborn but under control and the labor market showing signs of adjustment to technological shifts, the Fed faces a careful balancing act as it considers potential rate cuts in October.

The Federal Reserve cut the federal funds rate by 0.25% in a measured move to balance stubborn inflation with a softening job market. While markets anticipated multiple cuts in the coming year, the Fed’s latest projections point to a slower path, emphasizing its data-driven approach. Investors are encouraged to stay focused on long-term plans as upcoming economic reports on employment, inflation, and growth guide future policy decisions.

In today’s Market Minute, we break down the latest economic data, including inflation readings from the Consumer Price Index and the rise in initial jobless claims. We explore what these figures mean for the Federal Reserve’s upcoming decisions, the impact on the labor market, and how investors and businesses are responding. Plus, we take a moment to reflect on the significance of September 11th and the lives we remember.

There was significant chatter from pundits after Friday’s jobs report. Much of the conversation centered on the increased likelihood of Fed action, given the weaker-than-expected numbers and the revisions to June’s jobs report. As in most things, it is valuable to take a step back and delve deeper into the situation.

August was a very interesting month in the markets. The President and his administration leaned directly on the Fed to provide a reduction in the Federal Funds Rate at the upcoming September meeting. The challenge for the Fed is that inflation has remained stubborn, with Core CPI standing at 3.1% and the Personal Consumption Expenditures Index (PCE) holding at a 2.9% year-over-year increase. The Fed has a dual mandate to provide the economy with low inflation and full employment.

Inflation is tracked through measures like CPI, PPI, and the Fed’s preferred gauge, the PCE index, which reflects household spending patterns. Recent PCE data shows inflation is still above the 2% target, keeping investors focused on how it may influence the Fed’s next interest rate decision.

Breaking down the Federal Reserve’s upcoming rate decision, we examine stronger-than-expected GDP growth and resilient consumer spending. We also consider economic challenges such as inflation, a slowing labor market, and the ongoing impact of tariffs. Finally, we explore what these trends mean for investors and their portfolios.

Investing is like every other facet in life in that it has its own jargon. At Innovative Asset Advisors Group, we want our clients to understand both our investment process and their resulting portfolios. This white paper defines the major building blocks of portfolios—stocks, bonds, cash and cash equivalents, and alternative investments.

Federal Reserve Chair Jerome Powell spoke at Jackson Hole, hinting at possible interest rate cuts amid economic uncertainty, consumer sensitivity to rising prices, and ongoing inflation risks. Learn how these developments could impact your portfolio and the markets.

When people discuss investments with friends and colleagues, the focus is often on stocks, particularly high performers like Nvidia. However, successful long-term investing is not about the hottest stock pick or perfect timing of the market. It’s really driven by the asset allocation process. Asset allocation is one of the most critical decisions in investing and is arguably more important than choosing individual stocks or timing market highs and lows. Here's why it matters so much.

This update covers the latest inflation data showing a modest slowdown, yet inflation remains above the Federal Reserve’s target. Anthony explores the impact of core inflation, falling energy prices, and tariffs on the economy, along with signs of a cooling job market. The risk of stagflation continues to challenge policymakers as they balance controlling inflation without stalling growth. Stay informed on what these trends mean for the economy and your financial outlook.

Partner, Tony Minopoli joined Drew Mariani to discuss the devalued dollar, BRICS, and tariffs. Play the segment below or listen to the full podcast on Relevant Radio.

Financial planning is key to achieving long-term security and peace of mind. A clear plan helps you understand your assets, income, and retirement goals—so you can make informed decisions instead of leaving your future to chance. Innovative Asset Advisors Group guides you through this process with personalized strategies to help your wealth work toward your goals.

Welcome to the first edition of our monthly market insights report. This report will cover the economic standing and market of July 2025. Our goal is to provide a clear review of recent market activity and share insights to help investors frame their own decisions. Our focus will always remain on market facts and trends, touching on political developments only when they directly affect capital markets through tariffs, tax laws, or other government actions.