How to Stay the Course Through Tariffs and Turbulence

By: Douglas Feldman
Published: Apr 03, 2025

Don’t think about the daily or weekly or monthly volatility. Think about the long term.

There’s never a dull moment in the markets.

Markets are moving after new tariffs were announced by President Trump—and if you're feeling unsure, you're not alone. Starting April 5, 2025, nearly all imported goods will face a 10% tariff, with even steeper ones aimed at countries like China, Japan, and the EU. That’s big—and markets don’t like surprises.

So what should you do? Our advice to you:

• Breathe. Stay diversified. Stick to your long-term plan.

• Market ups and downs are normal, especially during moments of uncertainty. If you’re using Auto-Stash and investing regularly, you’re already practicing dollar-cost averaging—buying more when prices dip and less when they rise. It’s a simple, powerful way to invest through the noise.

• Want to check your plan or get personalized help? Open Money Coach in the Stash app—we’ve got your back.

So what’s going on in more detail: Today, you might be seeing headlines about new tariffs announced by President Trump, and you may wonder what this means for you and your investments. Let's break it down simply and calmly so you know exactly what's happening.

Starting April 5, 2025, the U.S. will impose significant tariffs on imported goods. These tariffs include a broad 10% tariff on nearly all imported products, along with higher tariffs targeting specific countries based on existing trade imbalances. For example, imports from China will face a 54% tariff, while goods from the European Union and Japan will face tariffs of 20% and 24%, respectively. Canada and Mexico are exempt due to existing trade agreements. Because these tariffs are wide-ranging and affect many products, from electronics and clothing to cars and food, they can create uncertainty and cause the markets to become more volatile.

No one knows exactly how the markets will respond over the coming days, but uncertainty typically leads to short-term fluctuations. Investors might become cautious, leading to swings in stock prices, as well as changes in currency values and commodity prices.

At Stash, we’ve seen situations like this before, and we know the best way through them is to stay calm and stick to your long-term investment plan. Short-term market fluctuations—even dramatic ones—are common. It's important to remember why diversification, or spreading your investments across different sectors and asset classes, is so important.

If you're feeling nervous, now is a great moment to pause, review your investments, and ensure they align with your long-term financial goals. Consider using tools like Auto-Stash, which help keep your investing on track automatically, regardless of market ups and downs.

Quick Q&A:

Q: Why are these tariffs causing market uncertainty?
A: These tariffs are unusually broad, affecting nearly all imports and multiple countries, creating uncertainty about global trade relationships and potential economic impacts.

Q: How might this affect my investments?
A: You could see more short-term fluctuations in your portfolio, but staying diversified and focused on the long term can help manage this volatility.

Q: Should I make changes to my portfolio right now?
A: Generally, it’s best to stay calm and stick to your long-term plan. If you’re concerned, review your investments to ensure they remain aligned with your goals.

If you’re feeling overwhelmed by the headlines or tempted to make a sudden move, here’s a simple reminder:

Zoom out and look at the big picture.

Don’t think about the daily or weekly or monthly volatility. Think about the long term.

We have a saying at Stash. It’s all about “time in the market, not trying to time the market.”

Selling effectively locks in any gain or loss you've made—but when you sell at a loss, that loss becomes permanent.

Stay strong. Stay the course. Stay diversified. We’re in this with you.