Monthly Market and Portfolio Review
September flipped the script on its usual reputation as a tough month for stocks. North American markets finished the month strong, capping a solid third quarter and extending impressive streaks of gains. The Toronto Stock Exchange Composite Index (TSX) surged 5.1%, while the S&P 500 Index (S&P) climbed 3.5%, the Dow Jones Industrial Average (DJIA) added 1.9%, and the Nasdaq Composite Index (Nasdaq) jumped 5.6%. Record highs were a recurring theme: the Nasdaq and S&P hit multiple peaks to post their best September since 2010 and strongest third quarter since 2020, while the Dow notched its fifth straight monthly gain. Up north, the TSX marked its fifth consecutive monthly advance.
What really moved markets was a coordinated reduction in interest rates: on September 17, 2025 the Bank of Canada surprised some by cutting its benchmark interest rate by 0.25% points to 2.50%, and roughly an hour later the Federal Reserve matched that with its own 0.25% cut to 4.00–4.25%. That back-to-back action read as a synchronous easing move – it lowered borrowing costs, pushed investors into rate-sensitive assets, and gave an immediate lift to stocks, especially sectors that benefit from cheaper financing.
Economic data painted a mixed picture. In the US, Personal Consumption Expenditures inflation readings were broadly in line with expectations, but job growth eased and consumer confidence slid to its weakest level since April, which kept investor sentiment cautious. In Canada, a small economic uptick (as measured by Gross Domestic Product) in July halted a run of contractions and eased fears of a deeper downturn, though manufacturing activity stayed soft and global demand headwinds lingered. That blend of “not terrible” hard data and weakening soft signals allowed markets to rally while still keeping a watchful eye on risks.
Trade headlines added texture rather than fireworks. September mostly confirmed earlier moves – the US–European Union (EU) auto tariff fix that was negotiated over the summer was formally implemented, and American officials reiterated that hefty tariffs on Chinese goods remain the “status quo,” which tempered hopes for a quick thaw. Canada benefited indirectly from the calmer US–EU outcome, and resource and export sectors cheered the lower interest rates, even as uncertainty over some US tariffs and new levies (timber, lumber, furniture) kept exporters cautious.
Across indexes, the drivers looked different because the market makeup differs: the Nasdaq and S&P were lifted by a handful of mega-cap tech names riding the artificial intelligence (AI) tailwind, the DJIA leaned on industrials and the dovish policy tone, and the TSX got a big boost from energy, basic materials (miners and fertilizer producers) and other resource-heavy sectors that tend to outperform when rates fall and risk appetite returns. The rally was broad based, and while a possible US government shutdown and trade uncertainty linger in the background, September proved that markets can still find plenty of reasons to push higher. 😊
| Portfolio | Monthly Streak |
| Portfolio 1: | 5 – month winning streak |
| Portfolio 2: | 6 – month winning streak |
| Portfolio 3: | 5 – month winning streak |
What’s usually a tricky month for stocks ended up delivering solid gains, lifting all three portfolios in September. Here’s a look at how each performed and the standout movers that shaped the month.
Portfolio 1 rose 4.7%, powered by all-time highs from Celestica (TSE: CLS), Alphabet (NASD: GOOGL), Nvidia (NASD: NVDA), Cameco (TSE: CCO), and TD Bank (TSE: TD). Technology led the charge: Alphabet’s 11% September gain capped a 38% jump in Q3 – its best quarter since 2005 – as it avoided antitrust penalties and benefitted from surging demand for AI. Solid gains from CrowdStrike (NASD: CRWD), Navitas Semiconductor (NASD: NVTS), Lattice Semiconductor (NASD: LSCC), and Cloudflare (NYSE: NET), a 39% pop from Kraken Robotics (TSE: PNG), and strong momentum from Grab Holdings (NASD: GRAB) added fuel. Trade Desk (NASD: TTD) and Magnite (NASD: MGNI) stumbled, and Nvidia wavered briefly on US-China trade jitters, but winners far outpaced losers. 😊
Portfolio 2 added 2.2% on the back of steady performance. Three of four weeks ended higher, with nearly 60% of holdings advancing even during the flat week. Highlights included record highs from iA Financial (TSE: IAG), Take-Two Interactive (NASD: TTWO), South Bow (TSE: SOBO), and TC Energy (TSE: TRP), plus a late rally from Microsoft (NASD: MSFT) after it avoided a significant EU fine. Supremex (TSE: SXP) slipped 13%, but broad-based gains kept the portfolio moving upward. 😊
Portfolio 3 had the rockiest ride of the three, but still came out on top with a 4.9% gain. After starting the month under pressure from a dip in Nvidia, the portfolio bounced back with a broad-based rally driven by some standout performances. The clear star was Lithium Americas (TSE: LAC), which nearly doubled (up 97%) on renewed investor excitement, while Royal Bank of Canada (TSE: RY) and TD Bank also reached fresh highs. Despite a few bumps in the final week, Nvidia’s resilience and strong showings from the banks kept the portfolio firmly on track. 😊
All in all, September was rewarding across the board. Record highs, standout rallies, and a few surprises kept momentum alive. With central bank support and resilient companies leading the way, the portfolios head into October on solid footing – and I’m looking forward to seeing what the next month brings. 😊
For the quarter, Portfolios 1 and 2 led the way with gains of 12.5% and 12.0%, while Portfolio 3 trailed at 8.4%. Among the indexes, the TSX soared 11.8%, extending its quarterly win streak to five, the S&P climbed 7.8%, the DJIA rose 5.2%, and the Nasdaq surged 11.2%.
Year to date, Portfolio 1 leads the pack with an impressive 24.4% increase in value, followed by Portfolio 2 at 15.3% and Portfolio 3 at 13.6%. Among the indexes, the TSX has soared 21.4%, the S&P climbed 13.7%, the DJIA rose 9.1%, and the Nasdaq jumped 17.3%.
What My Three Portfolios Did in September
Portfolio 1 for September 2025: UP 
Activity
No significant activity to report this month.
Dividends Received this month:
Companies followed by DRIP (Dividend Re-Investment Plan) indicate additional shares were purchased with the dividend. Any cash leftover was added to the cash balance.
Canadian $
Yellow Pages (TSE: Y)
BSR Real Estate Investment Trust (TSE: HOM.U)
Dream Industrial Real Estate Investment Trust (TSE: DIR.UN) DRIP
Decisive Dividend Corp (TSEV: DE) DRIP
Hammond Power Solutions (TSE: HPS.A)
Canadian National Railway Company (TSE: CNR)
Tourmaline Oil Corp (TSE: TOU)
US $
Walmart (NYSE: WMT)
Visa (NYSE: V)
Alphabet Inc. (NASD: GOOGL)
Skyworks Solutions Inc (NASD: SWKS)
Home Depot (NYSE: HD)
Quarterly Reports
Costco Wholesale Corporation
Fourth quarter 2025 financial results on September 25, 2025
Carnival Corporation & plc
Third quarter 2025 financial results on September 29, 2025
Portfolio 2 for September 2025: UP
Activity
No significant activity to report this month.
Dividends Received this month:
Canadian $
Fortis (TSE: FTS)
Whitecap Resources (TSE: WCP) DRIP
SmartCentres Real Estate Investment Trust (TSE: SRU.UN)
Dream Industrial Real Estate Investment Trust (TSE: DIR.UN) DRIP
Alimentation Couche-Tard Inc (TSE: ATD)
Brookfield Infrastructure Partners LP (TSE: BIP.UN)
Brookfield Infrastructure Corp (TSE: BIPC)
iA Financial Corporation Inc (TSE: IAG)
Tourmaline Oil Corp (TSE: TOU)
US $
Zoetis Inc. (NYSE: ZTS)
Microsoft (NASD: MSFT)
Quarterly Reports
Alimentation Couche-Tard Inc.
First quarter 2026 financial results on September 2, 2025
Portfolio 3 for September 2025: UP
Activity
No significant activity to report this month.
Dividends Received this month:
Canadian $
SmartCentres Real Estate Investment Trust (TSE: SRU.UN) DRIP
Brookfield Wealth Solutions (TSE: BNT)
Brookfield Renewable Corp (TSE: BEPC)
Brookfield Asset Management (TSE: BAM)
US $
Microsoft (NASD: MSFT)
Vertiv Holdings (NYSE: VRT)
Quarterly Reports
Enghouse Systems Ltd.
Third quarter 2025 financial results on September 4, 2025