Cabot Phillips

Yeah, we've talked quite a bit in the last month about how markets have been up and down. On Monday, there was only one direction, and that was up. The Dow shot up more than 1,000 points. The S&P 500 rose more than 3%, erasing all of its gains from the last month. And the Nasdaq shot up more than 4%, marking a 20% increase from its recent low in April.

Yeah, we've talked quite a bit in the last month about how markets have been up and down. On Monday, there was only one direction, and that was up. The Dow shot up more than 1,000 points. The S&P 500 rose more than 3%, erasing all of its gains from the last month. And the Nasdaq shot up more than 4%, marking a 20% increase from its recent low in April.

And we also saw similar massive gains across Asia and across Europe as well.

And we also saw similar massive gains across Asia and across Europe as well.

Yeah, it's important to remember the context here. India and Pakistan are bitter rivals. For decades, the two have feuded over religion, border disputes, and politics. Their shared border has been a tinderbox, and last week, a terror attack by Pakistani Islamists sparked the most significant conflict between the two countries that we've seen in decades.

Yeah, it's important to remember the context here. India and Pakistan are bitter rivals. For decades, the two have feuded over religion, border disputes, and politics. Their shared border has been a tinderbox, and last week, a terror attack by Pakistani Islamists sparked the most significant conflict between the two countries that we've seen in decades.

India responded with air and missile strikes on what they called terrorist camps, but a number of civilians were reportedly killed, and two mosques were hit in those strikes. Pakistan responded with strikes of their own, and within 48 hours, the two sides, both of which, remember, are nuclear powers, were deploying kamikaze drones, fighter jets, and even conventional artillery.

India responded with air and missile strikes on what they called terrorist camps, but a number of civilians were reportedly killed, and two mosques were hit in those strikes. Pakistan responded with strikes of their own, and within 48 hours, the two sides, both of which, remember, are nuclear powers, were deploying kamikaze drones, fighter jets, and even conventional artillery.

They were targeting each other's air defense systems, but again, a number of civilians were killed in that back and forth. By Friday, both sides had begun to evacuate towns along the border. Dozens of airports and schools were shut down, and thousands of troops were mobilized on both sides towards the border. So it looked like an all-out war was imminent.

They were targeting each other's air defense systems, but again, a number of civilians were killed in that back and forth. By Friday, both sides had begun to evacuate towns along the border. Dozens of airports and schools were shut down, and thousands of troops were mobilized on both sides towards the border. So it looked like an all-out war was imminent.

Right. From the very start of this conflict, the Trump administration gave the impression that they had no interest in getting involved. At least publicly, they were saying that. Here's Vice President Vance, for example, on Fox News, saying the conflict was, quote, "...none of our business."

Right. From the very start of this conflict, the Trump administration gave the impression that they had no interest in getting involved. At least publicly, they were saying that. Here's Vice President Vance, for example, on Fox News, saying the conflict was, quote, "...none of our business."

But while Vance was downplaying America's concern over the situation, we now know that he and Secretary of State Marco Rubio were working feverishly behind the scenes to iron out a peace deal.

But while Vance was downplaying America's concern over the situation, we now know that he and Secretary of State Marco Rubio were working feverishly behind the scenes to iron out a peace deal.

they were speaking directly with the country's two prime ministers and other high-ranking military officials and on saturday president trump really stunned the world by announcing that the us had brokered a ceasefire between india and pakistan writing on truth social he said quote after a long night of talks mediated by the us i'm pleased to announce that india and pakistan have agreed to a full and immediate ceasefire congratulations to both countries on using common sense and great intelligence

they were speaking directly with the country's two prime ministers and other high-ranking military officials and on saturday president trump really stunned the world by announcing that the us had brokered a ceasefire between india and pakistan writing on truth social he said quote after a long night of talks mediated by the us i'm pleased to announce that india and pakistan have agreed to a full and immediate ceasefire congratulations to both countries on using common sense and great intelligence

Now, for their part, India initially refused to acknowledge America's role in the deal. But Pakistani Prime Minister Shahbaz Sharif removed any doubt, saying, quote, we thank President Trump for his leadership and proactive role for peace in the region. Pakistan appreciates the United States for facilitating this outcome.

Now, for their part, India initially refused to acknowledge America's role in the deal. But Pakistani Prime Minister Shahbaz Sharif removed any doubt, saying, quote, we thank President Trump for his leadership and proactive role for peace in the region. Pakistan appreciates the United States for facilitating this outcome.

He went on to thank VP Vance and Secretary Rubio specifically for their, quote, valuable contributions for peace. Now, it's worth noting there were reports of small skirmishes still taking place along the border a couple times over the weekend. But for now, both sides are saying the ceasefire is holding a lot of people still holding their breath, though.

He went on to thank VP Vance and Secretary Rubio specifically for their, quote, valuable contributions for peace. Now, it's worth noting there were reports of small skirmishes still taking place along the border a couple times over the weekend. But for now, both sides are saying the ceasefire is holding a lot of people still holding their breath, though.