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Magnetic North Financial: Tariff Truce

  • Writer: Christopher Lakian
    Christopher Lakian
  • Jul 30
  • 2 min read

The long-anticipated negotiations surrounding the "Big Three" tariffs have concluded—at least for now.

 

As we move into the aftermath of these four-month-long discussions, the real test begins: assessing the economic and market impact. What will this mean for pricing structures, consumer sentiment, and corporate capital allocation? At this stage, it's largely conjecture—markets are navigating a fog of uncertainty.

 

Market Overview: July Divergence

 

July produced a noticeable market bifurcation. Technology and artificial intelligence stocks continued to climb higher, while industrials, transportation, and broader cyclical sectors lagged, weighed down by tumultuous White House trade policies. This pattern may signal a short-term market peak and coincides with the familiar third quarter trend of companies slowing down.

 

Some companies may attribute underperformance to tariff-related disruptions. Others—with stronger balance sheets or more favorable political positioning—may dismiss the tariffs as immaterial to operations. The narrative will fluctuate, but the divergence is telling.

 

In many ways, current conditions evoke the post-COVID market dynamic: dominant players consolidate strength, while smaller firms struggle to keep pace.

 

Looking Ahead: Expect Turbulence

 

Volatility over the next three to four months is highly probable. That said, volatility creates opportunity. Market dislocations are often where value emerges. In other words, there is always a way to make money.

 

Some outlier scenarios could shift the investment landscape—such as a sharp spike in unemployment or an unforeseen geopolitical or systemic shock. But barring such disruptions, speculating on unknowns is not a productive exercise.

 

Bottom Line: Stay Measured and Opportunistic

 

The macro environment remains constructive, for the selective and the patient. Use this period as an opportunity to revisit your financial plan—whether that means updating projections via tools like Money Guide Pro, or reassessing risk.

 

If your long-term strategy is sound and your portfolio appropriately positioned you’ve earned some peace of mind.

 

Maybe even a round of golf.

 

PS- this letter was re written by my wife, who has commented on my rushed writing style.

 

Happy wife, happy life

 

Cheers

 

Chris & Rachel

 

 

Christopher R Lakian

Owner, Portfolio Manager, AIF

 

Magnetic North Financial LLC

3003 Dunes West Blvd Suite 29

Mt Pleasant SC 29466

Main Number: 843-353-0313

Cell: 843-737-6060

Global Relay Secure Text: 843-428-7827

 

 

OneSeven ("OneSeven") is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC). Registration with the SEC does not imply a certain level of skill or training. All titles listed for individuals associated with Magnetic North Financial represent the individual's role with Magnetic North Financial, and not their role with OneSeven. Services are provided under the name Magnetic North Financial, a DBA of OneSeven.

 

 

 
 
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OneSeven ("OneSeven") is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC). Registration with the SEC does not imply a certain level of skill or training. All titles listed for individuals associated with Magnetic North Financial represent the individual's role with Magnetic North Financial, and not their role with OneSeven. Services are provided under the name Magnetic North Financial, a DBA of OneSeven.

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