Something is happening that hasn’t occurred in a very long time – international stocks are outperforming the U.S. markets. This shift marks a significant departure from the long-standing dominance of U.S. equities, which have historically been driven by robust earnings growth and technological innovation.

This week, we sent this communication to all Ferguson Wellman and West Bearing clients in response to heightened market volatility. We felt that this message was also appropriate to reiterate for our weekly blog.

After last November's presidential election, it was widely understood that tariffs would be on the agenda for 2025. Early this year, however, markets largely shrugged off these concerns, viewing tariff threats primarily as a negotiating tactic rather than a serious economic risk.

Yogi Berra might have been one of the most accomplished baseball players in history, but his greatest legacy may have been his contribution to classic sayings, otherwise known as “Yogi-isms.” His famous quote about déjà vu was supposedly uttered after watching Mickey Mantle and Roger Maris hit back-to-back home runs in 1961. However, one could easily hear it being uttered today when observing the politicians in Washington D.C. grapple with the federal debt ceiling that is due to be lifted or suspended again this year.

As February draws to a close, so does our first quarter outlook season. We enjoy hitting the road and sharing our 2025 Investment Outlook with clients and colleagues, and are grateful for the chance to come together and look forward to what's ahead.

This week, Portland residents braved the cold to venture outside and watch snow blanket the city. In contrast, January's inflation data was seemingly the opposite, rising higher month-over-month and year-over-year. While the snowfall might have been a pleasant surprise for some Oregonians, this inflation data was anything but for most investors and consumers.

Over the last week, the tariff rhetoric hit a heightened level with the threat of 25% tariffs on products coming in from Mexico and Canada, as well as 10% on China.

This week, the equity market had a “shoot first, ask questions later” response to news surrounding DeepSeek, a Chinese artificial intelligence startup company that claimed to achieve ChatGPT-level performance at a fraction of the cost. This news sent a shockwave through the technology sector, sparking a frenzy of speculation and questions about AI innovation.

This week, the presidential inauguration and subsequent flurry of executive orders left investors deciphering what is ‘signal’ versus ‘noise’. Fortunately, in the background, public companies have started reporting fourth quarter earnings and reveal expectations for the year ahead.

In our Investment Outlook 2025 events, we will share our thoughts on the real estate market and the opportunities ahead. While the commercial real estate sector appeared to hit bottom early last year, it showed a positive trend in the latter half, with core real estate values increasing 6% per the Green Street Commercial Property Index (Green Street CPPI). As mentioned in previous publications, we favor opportunities in industrial warehouses, apartments and data centers, which saw values increase last year. However, our publications have not as deeply explored one segment of commercial real estate (CRE): office space.