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Thank you, as always, for reading, sharing, and helping this community grow.
In this week’s Wealth Advisory, we explore how to stay focused amid market volatility and U.S.–China trade tensions—why perspective, not panic, drives long-term success. Next, Wellness Navigator, Christine Despres, reminds us that brain health is wealth, with half of dementia risk within our control through daily habits that strengthen mind and body. And in Etcetera, we highlight The New Yorker’s look at the fragile hope behind the release of hostages from Gaza.
With gratitude,
Jon C. Goodman
Founder, JCG Advisory Partners
Wealth Advisory: Market Volatility and Trade Tensions—Staying Focused During Uncertainty
Markets recently saw their steepest single-day drop since April, sparked by heightened U.S.-China tensions surrounding rare earth metals and tariff escalations. Although the sudden decline unsettled some market participants, equities rebounded quickly after the White House adopted more measured rhetoric on trade policy. For those investing with a long-term horizon, these fluctuations may seem familiar following a stretch of relatively steady market conditions.
Even with tariff-related headwinds throughout the year, market performance has been robust. The S&P 500, Nasdaq, and Dow have all posted double-digit percentage returns. Fixed income has also contributed positively to balanced portfolios, with the Bloomberg U.S. Aggregate Index climbing 6.7%—an exceptionally strong result for bonds. Meanwhile, international equities have surpassed domestic stocks, with developed markets advancing 21.9% and emerging markets rising 27.0%. Given this backdrop, it’s crucial not to allow one difficult trading session and accompanying negative press to influence investment strategy.
Rather than causing alarm, market fluctuations should reinforce that near-term volatility is an inherent aspect of investing. Keeping a long-term focus continues to be essential for achieving financial objectives. Recognizing the drivers behind market reactions and ensuring appropriate portfolio diversification can help investors remain committed to their goals.
Recent trade friction over rare earth elements.
Recent market turbulence stemmed from China’s announcement of export controls on rare earth metals, which prompted the White House to threaten an additional 100% tariff on Chinese imports beyond existing levies. This development represents another chapter in the ongoing back-and-forth that has generated uncertainty for market participants and corporations throughout the year. Encouragingly, the administration has since appeared to soften its stance, suggesting that diplomatic discussions may occur in the near term.
Why have rare earth metals become central to the tariff dispute? Unlike many imported goods and services, rare earth metals are predominantly sourced from China. Although these elements aren’t geologically scarce, China has developed substantial mining and refining infrastructure over many years, far exceeding other nations. These materials are essential inputs for numerous high-technology applications, including smartphones, electric vehicles, batteries, defense systems, and sophisticated electronics.
Given these factors, rare earth metals constitute one of China’s most significant bargaining chips in trade relations and geopolitical matters with the U.S. and global community. Current estimates indicate that China accounts for roughly 70% of worldwide rare earth production and close to 90% of refining capacity, creating global supply chain vulnerabilities. While the U.S. maintains strategic reserves and has implemented executive actions to boost domestic production, these efforts require considerable time to materialize.
Rare earth negotiations form just one element of the administration’s broader trade strategy with China. As the chart above illustrates, the U.S. continues to maintain a substantial trade deficit with China, and narrowing this gap while promoting domestic manufacturing has been among the administration’s key policy priorities.
Progress has been uneven—although some manufacturing activity has relocated to the United States and new capital investments have been announced, supply chains cannot be restructured immediately. The recent softening in labor markets has added complications: according to the August employment report, manufacturing employment decreased by 78,000 positions year-to-date.
From an investment perspective, distinguishing between serious tariff proposals and negotiating tactics remains challenging. This ambiguity can trigger rapid sentiment shifts and market movements. Therefore, avoiding knee-jerk reactions to news coverage and allowing events to unfold while concentrating on longer-term trends is prudent. This approach proved valuable during the initial trade conflict in 2018 and 2019, and investors who panicked earlier this year missed the subsequent market rebound.
Market volatility increases following quiet period.
Recent market activity has elevated uncertainty and volatility levels. This development is unsurprising given investor concerns about equity valuations, with the market’s forward price-to-earnings ratio hovering around 22.5x, alongside questions regarding the durability of gains in artificial intelligence-related stocks.
While understanding market drivers is valuable, historical evidence demonstrates that volatile periods frequently present the most attractive investment opportunities. Near-term concerns typically lead to more favorable valuations, which subsequently benefit long-term portfolios. The difficulty of investing during turbulent times is precisely why disciplined investors who maintain their composure tend to be rewarded.
The accompanying chart illustrates the historical relationship between the VIX index—a gauge of equity market volatility—and subsequent twelve-month returns for the S&P 500. Historically, elevated VIX readings have frequently preceded strong forward returns, as these moments coincide with heightened investor anxiety about market entry or ill-timed selling. This pattern demonstrates the potential costs of overreacting to market swings.
Strong market performance despite negative sentiment.
Although the 2.7% decline on October 10 ranked as the fourth-worst trading day of the year for the S&P 500, maintaining proper perspective is essential. The accompanying chart demonstrates that market corrections of 5% or greater occur regularly, even during years with positive overall returns. While this year has felt turbulent, the actual number of pullbacks has been fairly typical compared to market behavior over the past 45 years. In reality, markets have exceeded expectations this year, with the S&P 500 climbing 31.5% from its April “Liberation Day” trough and recording over 30 fresh all-time highs year-to-date.
The key takeaway isn’t that markets always advance smoothly, because they clearly don’t. Rather, it’s that episodes of market uncertainty are both normal and anticipated, and investors should consistently be prepared for short-term turbulence. Resisting the urge to fixate on every new development that might disrupt markets is fundamental to long-term financial success.
The bottom line? Brief episodes of market volatility can be uncomfortable but are normal and anticipated, particularly as trade frictions between the U.S. and China persist. Historical evidence indicates that periods of elevated uncertainty, though unsettling, frequently offer the best opportunities for patient investors.
Your Wellness Navigator and Holistic Health Guide: Christine Despres, RN, NBC-HWC, CDP
Caring for the Brain That Cares for You
We all have risk factors for dementia — some we can’t change, and many we can. The Lancet Commission on Dementia Prevention, Intervention, and Care estimates that around 45% of dementia cases worldwide are potentially preventable by addressing 14 modifiable risk factors across the lifespan.
That means half of our dementia risk is within our control.
There are a few non-modifiable factors we can’t change — like age, genetics and head injuries — but the rest is shaped by how we live, eat, move, sleep, and connect. The goal isn’t to be overwhelmed by the science, but to fall in love with caring for your brain, your greatest asset.
You Are Not Stuck with the Brain You Have.
As world renowned psychiatrist Dr. Daniel Amen reminds us, “You are not stuck with the brain you have — you can make it better.”
That truth is profoundly empowering. Your brain is dynamic, not fixed. It’s constantly changing — growing new connections, pruning old ones, and responding to every choice you make. This process, called neuroplasticity, means your habits and environment literally shape your brain’s health and performance throughout your life. So what you do today matters!
That’s why change is always possible — at any age. You can:
- Improve blood flow to nourish brain cells.
- Reduce inflammation through balanced nutrition and stress management.
- Grow new neurons through exercise and learning.
- Protect memory centers by managing blood sugar and blood pressure.
- Rewire emotional patterns through mindfulness and gratitude.
Your brain responds beautifully to care. You don’t need to change everything at once — the power lies in small, consistent steps that build a brain-healthy lifestyle over time.
When you care for your brain, your brain takes care of you.
The 14 Modifiable Risk Factors for Dementia (Based on the 2024 Lancet Commission on Dementia Prevention, Intervention, and Care,study.)
- Low Education – Lifelong learning builds cognitive reserve.
- Hypertension – Keep blood pressure in a healthy range.
- Hearing Loss – Treat hearing issues early.
- Smoking – Quit for better brain and heart health.
- Obesity – Maintain a healthy weight through balanced nutrition and movement.
- Depression – Address mental health and emotional well-being.
- Physical Inactivity – Move your body daily.
- Diabetes – Manage blood sugar through lifestyle and care.
- Low Social Contact – Stay connected and engaged.
- Excessive Alcohol or Drug Use – Drink in moderation or not at all.
- Head Injury – Protect your head from trauma.
- Air Pollution Exposure – Reduce exposure where possible.
- Untreated Vision Loss – Keep up with eye health and vision care.
- High LDL Cholesterol – Support cardiovascular and brain health through diet and exercise.
Knowledge Is Power.
With Alzheimer’s disease expected to triple in the next 25 years, and women making up two-thirds of those affected, prevention isn’t optional — it’s essential. Everyone (not just women) should be empowered to create their own personalized Alzheimer’s prevention plan, rooted not in fear, but in knowledge and self-care. These risk factors are a call to action, an opportunity to get your health and wellness goals in line with optimizing brain function, aging well, preventing disease and living your best life.
Let’s walk this journey together, I’m here to support you every step of the way.
Be well,
Christine
Your Wellness Navigator
Join Me for my Brain Boost Sessions
Knowledge is power — but action is transformation.
👉 Get on the list for the next session here: https://www.thewellnessnavigator.com/free-brain-boost-sessions
You are invited!!! Free monthly Brain Boost Sessions, a 30-minute ritual to help you enhance your brain function, improve energy, balance mood, and build healthy habits that last.
Here’s what you can expect each month:
✔️ A short centering meditation
✔️ Straightforward insights on brain health, aging, and vitality
✔️ Real science, not fluff
✔️ Actionable steps you can start using right away
✔️ A relaxed, supportive space, no pressure, no prep
📅 We meet on the first Wednesday of every month at 10:00 AM ET.
Each session is free, virtual, and designed to help you thrive with clarity and confidence.
It’s recorded if you can’t attend live! Hope to see you there!
Why Hamas Agreed to Release the Hostages | The New Yorker
That’s all for today.
Delighting in wisdom, wealth, and the work of becoming whole,
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