Quarterly Market Review — Q3 2025: Stocks Reach New Highs as Rate Cuts Begin
Global markets advanced in the third quarter as moderating inflation, resilient growth, and the Federal Reserve’s first rate cut of 2025 lifted investor sentiment. In the U.S., broad stock indexes reached new highs, supported by strong corporate earnings—particularly in technology and communication services. Smaller companies also gained ground, benefiting from lower borrowing costs and improving economic confidence.
International markets delivered solid results, led by emerging economies where improving trade activity and policy easing supported growth. Meanwhile, bonds rallied as yields declined, offering investors attractive income alongside renewed price gains.
Our latest Quarterly Market Review provides a concise, data-driven look at these developments—including what drove third-quarter performance across stocks and bonds and what we expect going forward. With central banks shifting toward easier policy and productivity trends strengthening, the market backdrop remains broadly supportive.
Explore our full market review and outlook commentary, along with charts, in our downloadable deck for insights into recent trends and where markets may be heading into 2026.
Download the Q3 2025 Quarterly Market Review (PDF)
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