March 2025 Pricing Commentary

March was a challenging month for financial markets, largely driven by negative tariff headlines and general investment uncertainty. In many cases, high-quality companies were sold off for reasons unrelated to their fundamentals, with broader market anxiety influencing investor behaviour.

Despite these challenges, corporate earnings were solid in March and expectations for more interest rate cuts continued to be priced in, which would be a major positive for stocks. Furthermore, technological advancements in the realm of AI, robotics, and medical technology are accelerating at warp speed, and we remain invested in the companies that are set to be the prime beneficiaries of this ongoing revolution.

As a result, we remain optimistic. Even the slightest positive developments in these areas could provide a significant tailwind for financial markets—which would be unexpected given the current positioning of investors, who we believe are overly pessimistic. With positive seasonality in April, the stage could be set for a potential snapback rally as the market climbs the present wall of worry.

Irwin A. Michael Signature

Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.