Weekly Market Commentary -  Nov. 24, 2025

Week In Review

Despite a resounding earnings beat by technology bellwether Nvidia and comments from New York

Fed President John Williams that bolstered the viability of a December interest rate cut, market sentiment was rightly more circumspect of the sustainability of narrow AI stock leadership and a stronger-than-expected jobs report that fueled monetary policy doubt. Nvidia reported quarterly revenue of $57 billion and profits of $31.9 billion, significantly exceeding analyst expectations. However, extended equity valuations and concerns of an AI bubble have caused investor trepidation and a market environment ripe for “sell the news” and risk-off reactions. Divergent views were also apparent in the minutes of the October Federal Reserve policy meeting, with Fed officials expressing vehement dissent regarding near-term interest rate cuts amid inflation concerns and a seemingly resilient labor market that created 119,000 jobs in September. The S&P 500 succumbed to delicate investor confidence, sinking -2.0%.

This Week

Several economic reports will be released in a holiday-shortened week, including updates for U.S retail

sales and the Producer Price Index, both for the month of September. The third quarter earnings season winds down with 12 S&P 500 companies reporting results, including Best Buy, Dell, JM Smucker, HP, Analog Devices, and Deere. 3 Happy Thanksgiving!

Portfolio Themes

A credit spread is the difference in yield between a corporate bond and a U.S. Treasury bond with a

similar maturity. Investor demand for yield pushed U.S. investment-grade credit spreads to a 27-year low of 72 basis points in mid-September.4 However, spreads have widened to around 84 basis points as of mid-to-late November due to new debt issuance. 5 Simplicity offers actively managed bond portfolios that may be able to identify defensive sectors, mitigate growing credit risk and boost income.

_______________________________________

Data: Unless otherwise noted, data for charts, graphs, and tables is sourced from YCharts. Portfolio Themes idea sourced from State Street Investment Management.

1 Style box returns use various Russell indices tied to specific areas of the market cap (vertical) and style (horizontal) spectrums. Indices are not typically available for direct investment, are unmanaged, and do not incur fees or expenses.

2 Index Statistics: P/E Ratio – Displays the forecasted P/E ratio of the representative index ETF. Yield - Dividend-per-share divided by current share price. Table statistics are updated weekly. MSCI indices represent broad global and international equity markets. Indices are represented by iShares ETF proxies (IVW, IVV, IVE, ACWI, and ACWX).

3 FactSet.

4 Bloomberg.

5 Reuters. Past performance does not guarantee future results.

Weekly commentary and investment advisory services are provided by Simplicity Wealth, LLC a SEC Registered Investment Adviser. Registration does not imply a certain level of skill or training. The information provided is for informational purposes only and does not constitute any form of advice or recommendation. The information contained within has been obtained from various sources and is believed to be accurate at the time of publication.