According to East Bay Investment Solutions’ latest quarterly commentary, global markets and the U.S. economy showed surprising strength in Q3 2025 despite continued uncertainty. The Federal Reserve lowered interest rates for the first time this year to help support a cooling labor market, while inflation proved stubborn, holding at 2.9%, above the Fed’s preferred target. Even so, real GDP growth came in at a healthy 3.8% last quarter, with similar results expected for Q3, highlighting the economy’s resilience.
At Proper Wealth, we think several points stand out from this quarter’s data:
- The strong U.S. dollar has weighed on international returns, yet global diversification continues to add balance and opportunity for investors.
- Massive spending on artificial intelligence, over $200 billion, has fueled excitement but also raised questions about when the profits will follow.
- Meanwhile, revised job data revealed a softer labor market than initially thought, suggesting some moderation beneath the surface.
Overall, it was a quarter of contrasts: steady growth and strong market performance paired with potential economic challenges.
For long-term investors, this period reinforces the value of maintaining perspective and staying committed to disciplined, well-diversified strategies. Read the full Q3 report below or connect with our team to discuss what these developments could mean for your financial plan.
Prefer watching over reading? Watch the Q3 2025 Market Commentary video.
