Merriam-Webster defines volatility as "tendency to change quickly and unpredictably" - which is a fitting description of the 2025 environment. The volatility has stemmed from assuming President Trump's second term policies would mirror his first, as well as the subsequent impact of those new policy directions. As more hard data becomes available, we will all need to carefully evaluate the true economic impact of these policy shifts. Given the array of potential outcomes, investors should prepare for ongoing uncertainty and the market volatility that may accompany it. "With uncertainty expected to persist, we believe tactical portfolios should seek to carefully balance risk mitigation with proactive positioning for new opportunities."- Marc Zabicki, LPL Financial Chief Investment Officer In the second half of the year, the delayed effects of trade policy will begin to take a more noticeable toll on the economy, resulting in slower growth, softening labor demand, and a modest uptick in inflation. These emerging challenges will create a more complex landscape for the Federal Reserve, requiring them to maintain a cautious stance on monetary policy and further delay rate cuts. Tariff headlines will continue to drive market sentiment, adding complexity to both growth and inflation forecasts. Click here to read the full report which provides a comprehensive recap of the economy and market to date, plus a forecast through year-end. If you have questions or concerns, Saratoga Financial Services is here with answers – just call us at (518) 584-2555. | 
