Monthly Download: May 2025

Markets staged a strong rebound in May, fueled by a temporary de-escalation in US-China tariff tensions, strong corporate earnings, and continued AI optimism following Nvidia’s strong earnings results. Key developments also included the passage of the “One Big Beautiful Bill” tax package, legal decisions over the President’s tariff authority, and Warren Buffett’s official retirement announcement from active leadership at Berkshire Hathaway. Although optimism returned to equity markets, rising Treasury yields due to concerns over US deficit funding and a lack of tangible trade deals kept market participants on edge.