On August 22nd, 2025, Federal Reserve Chairman Jerome Powell addressed the annual Jackson Hole Economic Symposium. During his remarks, he noted that the Federal Reserve is considering a reduction in interest rates during its next meeting on September 17 due to persistent weakness in the labor market (MarketWatch).
If interest rates were to be reduced, there is a chance the market will surge higher in the hopes that lower borrowing costs will stimulate the economy.
Tariff Negotiations Add Complexity to Economic Forecasts
Tariff policies with three of the largest U.S. trading partners are still being negotiated, including Canada, Mexico, and China (FreightWaves). How these negotiations shake out could have a large effect on the U.S. Economy, but we may not have answers until November, when some of the tariff delays expire.
Historical Patterns: Understanding the “September Effect”
While past performance cannot predict future performance, if you have money on the sidelines, September may provide an opportunity to buy in low. Please let us know because we have a variety of interesting options to consider right now, including options with downside protection but good upside potential.
There is a market trend called the “September Effect” that is considered an anomaly. If you look at the stock market over the past 5 years, 10 years, and even going back to 1928, the stock market on average has been negative in September (Investopedia).
Market Conditions and Tactical Opportunity
In our opinion, the market has had a good run the past few months, and the market may be due for a healthy correction before ultimately heading higher than it is now by December 31st. If this comes to pass, then buying low in September could be a good opportunity; however, anything is possible with Tariffs, rate cuts, and an interesting job market.
Explore Retirement Scenarios with Enhanced Planning Tools
In 2024, one of our key initiatives was to identify a financial and tax planning platform that delivers both clarity and flexibility for real-world retirement decisions. After extensive testing, we adopted RightCapital, a comprehensive software tool that we’ve now used for nearly a year.
This platform supports a range of advanced planning functions, including:
- Evaluating IRA to Roth IRA conversion strategies
- Determining optimal withdrawal sequencing across account types
- Maximizing Social Security benefits
- Supporting multi-generational tax planning to help preserve after-tax wealth for heirs
- Estimating retirement readiness, including projected retirement age and success probability
Whether you or your adult children are looking to retire at a certain age, we can provide a roadmap and tell you whether to save more or if you’re good as is for your target retirement age. We can run reports at no cost, providing data-driven insights aligned with your financial goals.
Please note that we anticipate strong interest in this service following this update. If you’d like to receive a personalized analysis, we encourage you to reach out soon. We’re committed to providing timely responses, but we appreciate your patience as we process your requests.
Speak With a Trusted Advisor
There is a lot going on in the world, and it’s a great time to touch base. If we haven’t spoken in a while, or you’ve had any changes to your family, finances, or risk tolerance, please contact us at (586) 226-2100 to schedule a review meeting.
We would love to meet with you over the phone, Zoom, or face-to-face to strategize.
Sincerely,
with contributions from Robert Wink, James Wink, Zachary Bachner, James Baldwin, and Daniel Ladzinski
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Notes & Disclaimer: Investment advisory services are offered through Summit Financial Consulting LLC, an SEC registered investment advisory firm. Summit Financial Consulting Investment Advisory Firm Representatives do not render tax, legal, or accounting advice. Life/Annuity Insurance products and services offered by the individual insurance agent. Health insurance is offered through Summit Health Services, LLC and Property/Casualty (P&C) Insurance is offered through Summit Insurance Services, LLC and our local P&C agency partners. Please update Summit Financial Consulting LLC, if your investment objectives have changed or if the personal or financial information previously provided has changed. Past performance is no guarantee of future results. Representatives of Summit Financial Consulting LLC offer tax preparation services through Summit Tax Services. Summit Tax Services is a DBA of Heemer Klein & Company and they are owned and operated independently.