The Q Review: February 2025
Welcome to the Q Review, a monthly report from Qtrade Direct Investing®. Each month, we share insights into market trends, investor activity, and what’s new with us!
February brought heightened market uncertainty as U.S. policies disrupted investor confidence, Canada showed resilience despite looming tariff threats, and Europe’s market strength continued to attract attention. We break down the key developments shaping the markets and what they could mean for investors moving forward.
U.S. Policy Uncertainty Fuels Market Volatility
Throughout February, U.S. markets experienced heightened volatility due to fiscal and monetary policy uncertainties. Investors reacted to mixed economic data and shifting policy stances, leading to notable market movements. The Nasdaq Index had its worst week of 2025, dropping over 5% as growth concerns and high valuations led to the selling of major technology stocks. Nvidia, despite reporting a strong quarter, saw its stock decline by more than 7% during the week ending February 28, 2025. Additionally, North American stocks drifted lower, with the S&P 500 and TSX down 1.7% and 1.3% respectively, as investors awaited key retail earnings reports for further economic insights.
Canada’s Stability Amid Tariff Threats
Despite external challenges, including potential U.S. tariffs, Canada's economy remained relatively stable in February. The TSX demonstrated resilience, particularly in the energy, materials, and financial sectors. Copper prices and mining stocks had a strong week, with the metal up over 7%, driven by rising demand in China. This resilience underscores Canada's strong banking fundamentals and flexible monetary policy stance, contributing to a cautiously optimistic economic outlook.
European Markets Continue to Outperform
European markets stood out in February, buoyed by strong corporate earnings, strategic trade advantages, and expectations of monetary easing. Key sectors such as luxury goods and industrials thrived, while trade agreements provided additional stability. With European stocks offering attractive valuations relative to the U.S., investors increasingly looked to the region for growth opportunities.
Most bought and sold securities in January on Qtrade Direct Investing
Ten most purchased securities on Qtrade Direct Investing – February 2025
- ISHARES CORE EQUITIES ETF PORTFOLIO UN
- ISHARES PREMIUM MONEY MARKET ETF
- ISHARES CORE GROWTH ETF PORTFOLIO
- VANGUARD S&P 500 INDEX ETF UN
- BCE INC NEW
- NVIDIA CORP
- ENBRIDGE INC
- GLOBAL X S&P 500 INDEX ETF
- TESLA INC
- ISHARES CDN FIN MONTHLY UN ETF
Ten most sold securities on Qtrade Direct Investing – February 2025
- TESLA INC
- NVIDIA CORP
- TORONTO DOMINION BANK
- ENBRIDGE INC
- BCE INC NEW
- PALANTIR TECHNOLOGIES INC CL
- ISHARES PREMIUM MONEY MARKET ETF
- TELUS CORP
- BANK OF NOVA SCOTIA
- BNS INVESTMENT SAVINGS ACCOUNT SR F –NL
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The information contained in this article was obtained from sources believed to be reliable; however, we cannot guarantee that it is accurate or complete. This material is for informational and educational purposes, and it is not intended to provide specific advice including, without limitation, investment, financial, tax or similar matters.