The market news may be taking you on a roller coaster ride, but Tom Francis, our Head of Digital Advice, is here to hold your hand.

What’s happening in the markets?

Firstly, the age old disclaimer. Markets go up, markets go down. This is their natural ebb and flow, and we take a closer look at what’s causing those movements below. Remember, if you are investing for the long term, you don’t need to worry too much about the weekly (or monthly) headlines. 

President Trump and Ukrainian President Volodymyr Zelensky held talks at the White House during a scheduled visit to discuss a minerals deal as part of a wider peace deal between Ukraine and Russia. However, European defence stocks rose following the abrupt ending of these talks. Companies such as BAE, Rheinmetall, Thales and Leonardo saw a boost in their stock prices. Aerospace companies that are also involved in supplying the defence sector saw an increase in their share prices. These include companies like Airbus and Rolls-Royce. 

US President Donald Trump made some serious waves by signing an executive order to create a Strategic Bitcoin Reserve and Digital Asset Stockpile. The Digital Asset Stockpile may contain other digital currencies like Ethereum, XRP, Solana and Cardano. The market prices of these five crypto currencies jumped after this announcement. 

Global markets (and the US dollar) have tumbled due to the US tariffs imposed on Canada, Mexico and China going into effect. Economists are looking at the possibility of the US falling into a recession later this year because of how these tariffs could negatively impact US growth. A US recession could turn into a global recession, which would likely affect the UK, but this is still speculation at this point. Read more about what recessions are and how they work here. 

Due to the recent market turbulence, investors have turned to assets that have long been considered ‘safe’ like bonds and gold. A point as old as time, diversification continues to be an investor’s best friend. 

The UK jobs market has seen a slowdown in the pace of hiring and also the lowest increase in starting salaries since February 2021. This is due to the increase in the rate of Employer NICs in April 2025, as announced by Chancellor Rachel Reeves in the 2024 Autumn Budget. 

What does this mean for your investments?

Based on the level of risk of your investments, you may have seen continued volatility in the value of your portfolio over the past few weeks. This will be the case especially if they contain US and global tech stocks. 

Long-term investing is one of the key tools we have to give us the chance of fighting inflation and growing our money for the future. If you’re already investing, it’s a good idea to keep following your plan unless your life goals or priorities have changed. 

Every year can be a bit of a rollercoaster when it comes to the markets. Using a Disney Theme Park analogy, some years are a little scary but a bit more gentle, like the Haunted Mansion, while others are more like Space Mountain and you either love the thrill or can’t wait to get off the ride.

At the moment 2025 is looking a little more Space Mountain than Haunted Mansion, but only time will tell. Keep zooming out and looking at the bigger picture, and we’ll be right here, holding your hand for the ride. 

Remember, with investing your capital is at risk. Your investments may go down as well as up, and you may get back less than the amount you invested.