The end of Labor Day weekend often arrives with a bittersweet tone — it’s a final salute to summer’s warmth and leisure before the cool air of fall arrives for much of the country.

As central bankers, economists, and policymakers gathered last weekend in Wyoming’s Grand Teton National Park for the 2025 Jackson Hole Economic Symposium, the Federal Reserve (Fed) found itself at a critical juncture marked by political pressures, personnel changes, and internal divisions over monetary policy direction.

As we wrote on August 11, companies have done a good job overall adjusting to tariffs so far, which was evident during earnings season. While several factors have helped mute the recent tariff effects, companies will experience more cost pressures in the months ahead.

We have been pleasantly surprised by how well stocks have handled the sharp increase in tariffs. Since the market low from the early April tariff scare, the S&P 500 Index has gained more than 28%.